SAVINGS

Bert Hines and Lorenda Smith of First National Bank give their insights on how interests rate changes can affect your savings and loans.

In today’s rocky economy, many people are struggling to find ways to get ahead, or just to break even. Some may take on a second job, or look to diversify their stock portfolio. Some people have been forced to take out loans, while others may seek to open a savings account as a means to fall back on in these uncertain times. The Federal Reserve’s ever-shifting rates may make such decisions seem complicated to some. First National Bank broke down the rates and the economic situation in an interview with the Post-Searchlight, and provided helpful pointers for those considering opening an account or taking a loan.

“Despite rates being typically better at a community bank, even we are not immune from the current market volatility,” said Senior Vice President of Retail and Marketing Lorenda Smith. “The rates changed daily… It’s a combination of both, the Federal Reserve, and the economy.”

Market President Bert Hines also gave his advice on the current situation as well. “The economy, the Fed, when they raise and lower rates, banks take notice of that, and they have to adjust their rates.” According to Hines, the Fed’s rates have been rising steadily for roughly the past year. This time last year, prime rates were 4%; as of the writing of this article, the rates are 8.25%. While this means a higher interest payment on loans, it