Banks Are Finally Raising Deposit Rates 2 Years After First Fed Hike

Banks Are Finally Raising Deposit Rates 2 Years After First Fed Hike:

For more than a year now, big banks have been shafting their customers by refusing to raise interest rates on deposits and products like CDs – opting instead to use the added income to pad their bottom lines after nearly a decade of rock-bottom rates.

This has been great for shareholders, who will indirectly reap the benefits of cheap financing costs and rising profits. Until recently, JP Morgan Chase & Co. had raised its average deposit rate by a paltry 0.21 percentage points, despite the fact that interest rates have risen by 1.25% since the cycle began. A sixth rate hike is widely expected when the Fed meets later this week.

* * *

PayPal: Donate in USD
PayPal: Donate in EUR
PayPal: Donate in GBP

Leave a Comment