Interest rates have also been a big topic in the financial news lately. You may have heard that the Federal Reserve is expected to raise its target interest rate again this week, as inflation has remained more stubborn than hoped. [1]

But what does a quarter-point increase actually mean for you?

Interest rates are one of the most important levers in the financial system. Whether you have a mortgage, earn interest on your savings, live off a bond portfolio, are considering a large purchase, or simply watch your investment account, interest rate changes likely affect you in some way.

In other words, rates show up almost everywhere.