AMARILLO, TX - Consumers may start paying more in interest rates as early as next Wednesday.
The Federal Reserve will increase interest rates next week for the first time in almost a decade.
Now that the nation has recovered from the 2008 recession, the government has chosen now to start slowly bringing interest rates back up.
The first increase will be small, according to Richard Ware, the president of Amarillo National Bank. He estimates about a quarter of a point increase.
"The interest that you receive on your savings accounts should go up slightly" said Ware. "But it's been so low it almost doesn't exist. Now loan rates are going to go up a little bit, which means a mortgage or a car loan may be a little bit more expensive."
Car loans are will people will see the change hit first. Mortgage interest changes will not be as noticeable since they are usually for longer terms.
The Federal Reserve will hold a meeting Wednesday to begin the process of slowly increasing rates.
Even if they reach a full point increase by this time next year, the change will still only be marginal.