Will today's Fed interest rate cut dull the interest rates for auto loans?
Answers:
Probably not. Auto loan interest rates are more closely tied to the prime rate. There be address today within the business medium of a prime rate cut somtime close to or at the subsequent Fed scheduled time contained by Sept. and that might effect a small lessening contained by auto loan rates. We shall see.
Depending how it is funded, it could.
the reduced rate is for bank and not consumers. its not going to effect the rate the hill give you a loan at. it effects the rate of interest the sandbank can borrow money at.
It's kinda close to the price of gas. An increase seem to filter to the consumer without delay while a condense never seem to be to bear a terribly, severely long time ... if ever.
In a word, no. In certainty, it should be a limiting sign to you. They cut the discount rate, which is the rate that bank can borrow from the Fed, which manner they are trying to reduce the liquity problems some financial institutions are have. Since they are have problems, they will involve to continue their magins and charge you like except more for your motor loan.