Federal Reserve Decreases Rates Again
The Federal Reserve (Fed) announced on Sunday, March 15, 2020 the decision to cut the federal funds rate to 0 – 0.25%, as part of a wide-ranging emergency action to protect the economy from the impact of the coronavirus outbreak.
When there is a decrease to the federal funds rate and subsequently to the prime rate, consumers will see a decrease in their variable rate loan products, including credit cards.
What does this mean for you?
If you have a loan or credit card with a variable interest rate tied to the prime rate, your interest rate will decrease. We want to make sure you are aware of this decrease so you can make any necessary budget adjustments.
Below is a list of Christian Community Credit Union variable rate loan products that are affected by the federal funds rate decrease.
| Loan Product | Decrease for NEW loans begins | Decrease for EXISTING loans begins |
|---|---|---|
| Personal Credit Line | February 1, 2020 | February 1, 2020* |
| Home Equity Line of Credit (HELOC) | April 1, 2020 | April 1, 2020 |
| Rewards Credit Card | March 21, 2020 | March 21, 2020 (based on your statement cycle) |
| Visa Business | March 30, 2020 | March 30, 2020 (based on your statement cycle) |
*Rates may change every six months in February and August.
