Janet Yellen’s speech last Friday, highlighted a positive outlook for a near future interest rate hike. She noted that solid performance of the labor market, coupled with positive outlook for economic activity, suggest that. The markets reacted mildly positively to the news, but once again, nobody knows whether the change will take place next quarter, or early next year.

The talk about rising interest rates seems like a really hot topic, but what does it really mean for an everyday American?  Here are a few things to keep an eye on and resources available at Weiss Ratings to assist you in making informed financial decisions.

• The cost of borrowing will go up. So when you go for a car loan or a mortgage, expect to see a higher interest rate tagged to it. The rate hike is not expected to be massive, but if it’s a 0.25 or 0.5 percent increase, it will surely reflect over the life of a loan, a mortgage for example. Be sure to check out Weiss bank and credit union ratings before you go shopping for a new car or a home.
• Expect to see an increase in investment volatility. A fluctuation in interest rate may shake up the markets as they react to adjust to the change. Your mutual fund investments in 401k, stocks or ETFs may experience ups and downs throughout the transition.
• Your bank savings account will grow. Not a whole lot, of course, but if you have a considerable amount in your savings or a money market account you might see a difference worth noting.
• The U.S. dollar may gain strength. It’s expected that the dollar will go up in value as a result of higher interest rates. Sounds pretty good, but in reality it may suppress U.S. exports and therefore cause lower demand as the goods would become more expensive for other countries to purchase.

Weiss Ratings gives you the ability to explore your options in multicurrency mutual funds. These funds focus on the currency market, and some may benefit from the rising U.S. dollar.

Stay on top of your finances by following financial institutions and investments on Weiss Ratings.