ANALYSIS: Impact of Fed Interest-Rate Hikes on Household Debt

Here’s a look at the impact of the Federal Reserve’s series of interest rate hikes on U.S. household debt.

A pair of traders work on the floor of the New York Stock Exchange, on Aug. 30, 2023. Richard Drew/AP Photo

The Federal Reserve has unleashed the steepest series of interest-rate increases in decades in a bid to tame soaring inflation—and policymakers warn more rate hikes may be in store.

While the Fed opted not to raise the benchmark federal funds rate at its most recent policy meeting in September, rates are at the highest level since 2001, within a range of 5.25–5.5 percent.