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The Fed's interest rate hike could be a boon for savings accounts. Here's why. The Federal Reserve raised interest rates by a quarter-percentage point at its meeting earlier this week, lifting the fed funds rate, a key bank lending rate, to a target range of 5.25% to 5.50%. Avid savers jumped at the opportunity for greater returns as high-yield savings accounts crept closer to five percent.It was the 11th interest rate hike since March 2022, bringing the benchmark borrowing rate to its highest l ....