Ask Terry Questions Mortgage vs Credit Card Interest Rates

Mortgage vs Credit Card Interest Rates

By Terry Savage on April 01, 2024 | Credit/Debt

Credit cards state that interest rates are based on the Federal Banks numbers. Mortgage Rates are also based on federal rates. How can there be a charge of 29% for credit cards and what mortgage rates are currently which is no where near 29%
Thanks

BTW you helped me with my issue on withdrawing 401K funds. I’m still waiting to hear from them I filed a hardship request with them.

Terry Says

Those are nowhere near the same things. A mortgage is secured for your house, has a time frame, and a guaranteed rate. Banks typically base their mortgage rates on the rate of the 10 year Tresury note.

Credit card interest rates are “sucker” rates– They lend you money with no security,and you borrow because you want something that you didn’t save up for! It’s a completely different story!

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