Good news for people still looking to buy a car or refinance their home, The Federal Reserve announced Wednesday that its holding interest rates near zero for the time being.
During a press conference, The Fed said the U.S. economy has strengthened since the start of the pandemic, despite COVID-19 case numbers beginning to climb again. Virginia Tech Financial Professor Derek Klock said although interest rates are set to stay between zero and 0.5 for now, this won’t last forever.
“They’re a forward-looking entity, and so they are trying to make the market aware that this is not a forever thing. It’s just right not an indefinite,” said Klock.
Although interest rates are near a record low, Klock encourages people not to make any rash financial decisions because of this.