How higher interest rates will affect Americans’ finances

By CHRISTOPHER RUGABER
AP Economics Writer

WASHINGTON (AP) — Americans who have long enjoyed the benefits of historically low interest rates will have to adapt to a very different environment as the Federal Reserve embarks on a period of rate hikes to fight inflation. Record-low mortgage rates below 3%, reached last year, are already gone. Credit card interest rates and the costs of an auto loan will also likely move up. Savers may receive somewhat better returns, depending on their bank, while returns on long-term bond investment funds will likely suffer. Here are some questions and answers about what the rate hikes could mean for consumers and businesses.