Cryptocurrency Q&A
How does a bank lender or credit card company decide how the interest rate they will charge you for borrowing money?
How does a bank lender or credit card company decide how the interest rate they will charge you for borrowing money?
Wed Jan 08 2025
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5 answers
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I want to know how a bank or a credit card company determines the interest rate they'll charge me when I borrow money from them.
5 answers
Fri Jan 10 2025
Competitors' rates and overall market levels play significant roles in shaping their interest rate policies.
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Fri Jan 10 2025
Additionally, federal policies also exert influence on these decisions.
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Fri Jan 10 2025
Banks possess a degree of autonomy when determining their interest rates.
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Fri Jan 10 2025
The Federal Reserve, or Fed, establishes the federal funds rate, which serves as a benchmark for banks to lend to each other and conduct transactions with the Fed.
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Fri Jan 10 2025
However, they are not entirely unconstrained in this decision-making process.
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