Financial advisor: Interest rate increase is good - KFVS12 News & Weather Cape Girardeau, Carbondale, Poplar Bluff

Financial advisor: Interest rate increase is good

CAPE GIRARDEAU, MO (KFVS) -

A financial advisor says the interest rate increase simply means we are living in a better economy.

"It's just a good sign, this is a good sign that we're headed in the right direction," Stan Irwin said. 

Irwin is an financial advisor for Edward Jones. He said the Federal Government raising interest rates is the right thing to do.

"They just raised the interest rate a quarter point, but it's a move in the upward direction," he said.

After months of talks, the Feds upped rates by a quarter point, the first raise in nearly a decade.

So, what does this mean for you?

If you're looking to buy a car, it may not mean much right now. A couple financial advisors at dealerships in the Heartland say rates are averaging around 3.6 percent, and have been for the last few months.  

That could change if you're shopping after the holidays.

For Home buyers, Irwin said lenders have been increasing interest rates for the last few months in anticipation of this announcement.

So, you shouldn't see any huge difference.

"Most of what you saw today was baked into the environment, the markets and they were just waiting for her, Janet Yellen, to say they were going to raise a quarter point to make it official," Irwin said.

Irwin said though interest rates are expecting to grow very slowly, he advises consumers to buy now.

"I think with this first move there's no doubt interest rates will be higher in the future, so holding off those purchases may present a higher buying cost for the consumer," he said.

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