While the Fed’s rate-hiking cycle is about to push the overnight Fed Funds Rate to 2.50% in two weeks, banks have so far completely refused to translate these sharply higher wholesale rates into benefits for US savers. In fact, as the following breakdown of consumer deposit rates at the largest US bank, one would think that the US is still stuck at ZIRP.
But while big money center banks refuse to even consider lifting the rate on their savings accounts, they have no such qualms when it comes to how much they charge on credit cards, and according to Bankrate.com’s latest survey, the average credit card rate is now 18.03%, the highest on record since January 1996.
Read More: Average US Credit Card Rate Hits Highest On Record
