Looking at the numbers the interest rate is almost 7% making most things very unaffordable for people who can't buy things like houses and cars with cash. Until that number dramatically goes down, regular people will suffer.
This view is always super weird to me; aside from ~2008-2020, the current interest rates should still be considered pretty reasonable. And remember that rates were also on their way up pre-pandemic, but got slammed back down to 0% once the pandemic hit. (I mention this bit to counter the belief among many that our current rate situation is solely due to poor management of pandemic response.)
And -- this is certainly a bit of a gamble -- but I know people who have taken on higher rate mortgages now with the expectation they'll be able to refinance within a few years at a lower rate. That's certainly more expensive even in the meantime than having a lower-rate loan to start, and there's always the risk that rates don't actually come down, but it's an option for many (admittedly not all).
You obviously didn't live through it, or you wouldn't be spouting such offensive, naive nonsense. How many working class families do you know that can afford to buy economically significant amounts of T-bills, as opposed to, you know, eating, or paying for car repairs, or kid's back to school supplies. When is the last time you saw a bank paying anywhere close to the prime rate on savings accounts, which is all a working class family typically has access to. (as opposed to pocketing the difference as profit, thank you very much)
All of the online banks pay pretty close to 4 week T-bill rates, maybe 1% off. Chase/etc are only worth keeping a small amount in, everything else should be transferred to Ally/Marcus/Fidelity Cash Management/Vanguard/etc.
I absolutely did live through it. I also watched my grandfather who had a 7th grade education double his money twice through the insanely technical investment strategy of...wait for it...driving down to the bank to renew CDs. I'd entertain an explanation of what's either offensive or naive about that.
