If the fed interest rate is 3.75-4%, why is the average mortgage rate above 7% and most savings accounts are below 3%?

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If the fed interest rate is 3.75-4%, why is the average mortgage rate above 7% and most savings accounts are below 3%?

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Anonymous 0 Comments

Bank need to make money somehow, and typically one source of revenue is by charging more for loans than they pay to borrow funds.

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