Credit-card companies have been spending huge sums to woo consumers with perks and rewards. Now, cardholders are about to be reminded that lenders can dish out higher costs, too.
The annual percentage rates on millions of credit-card accounts are set to rise following the Federal Reserve’s decision on Wednesday toincrease its target short-term interest rate.
Borrowers can expect the quarter-point rate increase to pass through to their card balances within the next two billing cycles, saidGreg McBride, chief financial analyst at Bankrate.com, a firm that tracks credit-card rates.
Continue reading here.