How to Benefit From Rising Interest Rates

Savers will get the best rates from top-yielding savings and money market deposit accounts at online banks.

illustration of a man climbing a ladder next to a stack of coins
(Image credit: Getty Images)

The economy is strong, unemployment is low and inflation is receding. The Federal Reserve decided to continue to pause interest rates hikes at the March meeting. 

The central bank's rate-hiking campaign to tame inflation might be over, although the Fed's policy statement noted that the Committee remains "highly attentive" to the risks of inflationary pressure. Either way, the long-awaited "Fed pivot" seems to be on hold a bit longer. "The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2 percent." Rate hikes traditionally favor savers and lenders. Borrowers and those paying down debt usually feel most of the pain.

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Rivan V. Stinson
Ex-staff writer, Kiplinger's Personal Finance

Rivan joined Kiplinger on Leap Day 2016 as a reporter for Kiplinger's Personal Finance magazine. A Michigan native, she graduated from the University of Michigan in 2014 and from there freelanced as a local copy editor and proofreader, and served as a research assistant to a local Detroit journalist. Her work has been featured in the Ann Arbor Observer and Sage Business Researcher. She is currently assistant editor, personal finance at The Washington Post.

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