What could happen to credit card rates now that inflation is holding steady?

With inflation remaining high and the Federal Reserve’s decision on interest rates approaching, credit card rates could soon change. Borrowers with revolving debt have been hoping for relief from high credit card APRs, which are still over 22%. The Consumer Price Index (CPI) rose 3.4% annually in August, slightly above expectations, while core inflation eased annually but increased monthly. This matters because the Fed’s interest rate decision on September 16 could impact credit card rates, which are linked to the Fed’s benchmark rate. If the Fed raises rates, credit card APRs may rise, affecting those carrying balances. The August inflation report suggests inflation isn’t yet moving toward the Fed’s 2% target, increasing the likelihood of a rate hike. QUESTION: How might rising credit card rates impact young adults who are just starting to manage their finances?