Feds may raise interest rate, banks have money to spend

The Federal Reserve Board indicated this week that they are prepared to begin raising interest rates, possibly at their March 2022 meeting.

South Dakota Bankers Association President Karl Adam says the Fed has been talking about raising rates for some time.

Adam says the central bank is reacting to inflation and other economic indicators.

Adam says the rate news may move consumers to make some changes in their finances.

Adam says after two plus years of federal stimulus spending, banks are “flush with cash” and ready to make investments.

(WNAX Radio contributed to this story.)