Use Same HUD Passbook Savings Rate Despite Fed Rate Cut

On March 3, the Federal Reserve cut its federal funds rate by half a percentage point. It was the first rate cut in 2020 and came in response to the threat posed to the economy by the coronavirus.

When the Fed cuts interest rates, consumers usually earn less interest on their savings. Banks will typically lower rates paid on cash held in bank certificates of deposits, money market accounts, and regular savings accounts.