Mortgage Rates Surge Past 7% Amid U.S. Debt Concerns and Downgrade

As of late May 2025, mortgage rates in the U.S. have climbed above 7% for 30-year fixed home loans. This increase, one of the largest in recent years, has made buying homes less affordable for many Americans. The spike in mortgage rates has mostly come about due to higher yields on U.S. Treasury bonds, which generally set the stage for mortgage costs. Investors have become less confident in U.S. Treasury bonds because the government owes a lot of debt and Moody's, a well-known credit rating agency, recently lowered the credit rating of the United States. Additionally, recent economic decisions made by President Trump and ongoing worries about the country's increasing debt levels have made the economic situation more uncertain, keeping mortgage rates high.

Unmasking UPI Fraud: Battling Phone Spoofing and Digital Payment Scams

In recent years, phone number spoofing and digital payment scams have become major problems for financial consumers. Scammers often disguise their true phone numbers to trick people into believing they are communicating with someone trustworthy. This tactic helps them convince victims to share private details or make unauthorized transactions. At the same time, payment platforms using Unified Payments Interface (UPI) have become popular targets for fraudsters. To help fight against these scams, the National Payments Corporation of India has introduced rules that require UPI payment apps to clearly show only the genuine details of senders, making it harder for scammers to hide behind fake identities. Despite improvements, striking the right balance between security and convenience remains an ongoing challenge.

Is Your Checking Account Costing You Lost Earnings?

Holding too much money in your checking account can mean missing opportunities to grow your finances, especially in uncertain financial times. Experts recommend having just enough in checking to cover about one to two months of essential expenses, plus a modest cushion for unexpected costs. For example, if your monthly spending averages $3,000, keeping somewhere between $3,000 and $6,500 in checking is likely enough—though people with incomes that fluctuate, like self-employed individuals, might benefit from keeping a bit more. With mortgage interest rates close to 7% and climbing because of rising U.S. budget deficits, it's more important than ever to put extra money into investments or savings accounts where you can earn higher returns.

The Gig Boom 2025: AI-Powered Side Hustles Fueling Financial Flexibility

In 2025, the gig economy continues to expand rapidly, involving over 70 million Americans and generating more than $1 trillion each year. As economic uncertainty increases due to rising mortgage rates and worries about the national budget, many individuals are turning to side hustles to gain extra income and greater career flexibility. New platforms, especially those targeting niche industries, are expected to develop, making it easier for people to earn money from specific talents or skills. In addition, artificial intelligence (AI) tools are becoming popular among side hustlers, helping them save time by automating routine tasks and improving their marketing efforts. Overall, side hustles are providing people with valuable opportunities to build financial stability and navigate shifting economic conditions.

Tax Time Bomb: How TCJA’s Expiration Could Impact Your Retirement

Perhaps most concerning for retirees and those nearing retirement is that the expiration of the Tax Cuts and Jobs Act (TCJA) at the end of 2025 will cause taxes to rise significantly. This means that current tax brackets, which range between 10% to 37%, will shift back to the former, higher rates of up to 39.6%. Middle-income retirees will feel this impact most, as the 12% tax bracket increases to 15% and the 22% bracket jumps to 25%. Many retirees will need to prepare carefully, as paying higher taxes could mean adjusting retirement budgets or reevaluating retirement income strategies to make sure they can still comfortably meet their financial goals.

Tariff Troubles: Americans Tighten Budgets Amid Recession Fears

Amid rising concerns about a potential recession, many Americans have begun to adjust their spending habits significantly in response to tariffs introduced under President Trump's administration. Recent surveys show that over half of American consumers have already scaled back their spending, with others planning to follow soon. This shift can be seen across a variety of everyday expenses like clothing, groceries, streaming services, and dining out. To stretch their dollars further, people are buying more store-brand products, hunting for discounts and coupons, and limiting unnecessary purchases. As these household budget changes become more common, businesses and the economy as a whole may feel the impact.

Trending now

Budgeting and Saving
Debt Management
Side hustle ideas to boost income
Investing basics for beginners