How the Federal Reserve impacts personal loans
The Federal Reserve held rates steady at its January 2026 meeting.
Pippin Wilbers is a former Bankrate editor and a Certified Credit Counselor™. He joined the Bankrate team in 2021 and works on helpful content about banks, consumer loans and mortgages. Pippin is passionate about helping borrowers stay up-to-date and feel empowered to make the best choices in a changing and challenging borrower environment.
Pippin stays on top of industry news sources, such as TransUnion and Experian. Working with Bankrate's skilled reporters, he analyzes industry data and the latest political moves and asks: "What does this mean for borrowers?"
Pippin lives in Denver. Before joining Bankrate, he brought vital news to his Missouri community as a small-town newspaper reporter. In his spare time, he enjoys foraging for mushrooms, reading and dabbling in amateur entomology.
It's a strange time for consumer finances, with the Fed lowering rates under political pressure while both inflation and mortgage rates stay stubbornly high. Even the experts have a tough time predicting what will happen next. But the fundamentals of personal finance haven't changed: Put your savings in the highest-yielding account you can find, keep your credit spending as low as you can and compare before you commit to any credit product.
The better you understand how loans work and how lenders think, the better equipped you are to save on your loan.
— Pippin Wilbers
Even with insurance, healthcare events can involve large out-of-pocket costs.
This strategy may help you pay off your debt over time and at a lower interest rate.
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The choice of PAYE versus SAVE comes down to your financial situation.
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