Interest rates were split this past week as overseas markets are once again vexing our domestic market.  Even with a pending Fed rate increase on the horizon, Treasury rates and mortgage rates have moved lower during the month of July.  As many loan rates ticked lower or, at least stabilized in the case of car loan rates and credit card rates, CD rates and savings rates were elevated slightly as July comes to a close. 

With the U.S. economy seemingly improving, expectations of a Fed rate increase have increased with most economists forecasting an increase in rates before year’s end.  In anticipation of the pending Fed action, bond rates have risen pushing Treasury rates and mortgage rates higher.  The ten year Treasury had jumped to near 2.50% by the start of July and the 30 year fixed rate mortgage had climbed to 4.20%.  Based on the most recent of bank rates conducted by, the average 30 year home loan rate has slipped back down to just over 4.00% and the ten year Treasury has drifted back to 2.27%.

In contrast to the downward action seen with long term interest rates, shorter loan rates and savings rates have held up rather well.  Car loan rates and credit card rates have been mostly unchanged through July.  The average rate on the best car loan rates has hovered right around 2.50%, more information on auto rates can be found at our sister publication  Credit card rates continue to hold at just under 14.00% but, watch out if the Fed pulls the trigger and increases the fed funds rate causing a corresponding bump in the prime rate for the first time in years (the vast majority of credit card rates are variable rates set to a margin above the prime rate).

The highest yielding CD rates managed to gain ground through July.  The average rate for the top yielding bank CDs moved up to 1.215%.  The top yielding bank certificates are measured by the CD rate index which surveys the top ten best CD rates on three month term CD accounts, six month term accounts, one year, two year, and five year maturing CD accounts.

The best bank money market account rates and savings account rates also saw some movement to the upside in July.  The highest yielding money market accounts have now crossed the 1.00% mark with the average interest rate on the top ten bank savings and money market accounts coming in at 1.016%.

The accepted consensus for a Fed rate increase is now being counterweighted by uncertainties in China, Brazil and smaller European nations.  The weakness in some of the world’s largest economies is certainly going to impact the US corporate profits and output but may not change the course of the Fed with slowly rising interest rates coming back to the market.

Bank rates market recap for July 27, 2015:

CD interest rates:
Composite CD interest rate index 1.215 percent
3 month CD rates 0.426 percent
6 month CD rates 0.830 percent
1 year CD rates 1.218 percent
2 year CD rates 1.390 percent 
5 year CD rates 2.209 percent

Money market and savings account rates:
Bank money market rates and savings account rates 1.016 percent

Mortgage rates: 
30 year mortgage rates 4.074 percent
15 year mortgage rates 3.330 percent
20 year mortgage rates 3.858 percent
30 year jumbo mortgage rates 3.953 percent
30 year FHA mortgage rates 3.845 percent

Credit card rates:
Credit card rates for new credit card offers 13.89 percent

US Treasury rates:
Six month Treasury rate 0.14 percent
One year Treasury rate 0.32 percent
Two year Treasury rate 0.70 percent
Five year Treasury rate 1.64 percent
Ten year Treasury rate 2.27 percent

All bank savings rates and lending rates are based on surveys conducted by at the close of July 24, 2015 with all of the interest rates obtained directly from the banks within the survey.  Treasury rates are obtained directly from the Department of the Treasury.  

For more detailed interest rate data on mortgage rates, CD rates, credit card rates and savings account rates for the week ending July 24, 2015 please see: 3 month CD rates, 6 month CD rates, 9 month CD rates, 1 year CD rates, 2 year CD rates, 4 year CD rates, 5 year CD rates, 30 year mortgage rates, 15 year mortgage rates, FHA mortgage rates, 20 year mortgage rates, 10 year mortgage rates, jumbo mortgage rates, best interest checking accounts and best credit card rates.

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