Freddie Mac

What the Fed's interest rate increase means for you: 6 things to know

What the Fed's interest rate increase means for you: 6 things to know

The Federal Reserve raised interest rates by a quarter-point Wednesday in a widely expected move.

Although there have been two other quarter-point interest rate increases since the Great Recession, the rate tinkering has been so limited that people likely haven't noticed. Now, however, the Federal Reserve sounds serious about leaving the days of ultralow rates behind as the economy gets stronger. At this point, the Fed is leaning toward two additional quarter-point rate increases this year and three next year.

Fed Chair Janet Yellen said she expects gradual rate increases to persist if the economy continues on the path it's on now.

"The economy has been doing...

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