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The average 30-year fixed rate jumped a quarter point in a week

By Mark Huffman of ConsumerAffairs

• The average 30-year fixed mortgage rate rose to 7.28% this week, up sharply from 7.03% a week earlier.

• Mortgage rates have now increased for four consecutive weeks, climbing from 6.71% in early September as Treasury yields moved higher.

• The Federal Reserves September rate increase and persistent inflation concerns are helping keep borrowing costs elevated, making homes less affordable even where prices have softened.

Mortgage rates moved sharply higher this week, delivering another setback to prospective homebuyers who had been hoping borrowing costs would retreat this fall.

Freddie Mac reported Thursday that the average rate on a 30-year fixed-rate mortgage climbed to 7.28% as of Oct. 1, up from 7.03% last week. A year ago, the average rate was 6.34%.

The average rate on a 15-year fixed mortgage also increased, rising to 6.60% from 6.42% a week earlier. A year ago, the 15-year rate averaged 5.55%.

The latest increase continues a rapid reversal from earlier in September. The average 30-year rate was 6.76% on Sept. 10 and rose to 6.95% on Sept. 17 and 7.03% on Sept. 24 before reaching 7.28% this week.

That means mortgage rates have risen by more than half a percentage point in just three weeks.

With mortgage rates on their current trajectory, the housing market continues to be supported by favorable economic conditions, Freddie Mac Chief Economist Sam Khater said in releasing the latest survey.

Why mortgage rates are rising

Mortgage rates aren't set directly by the Federal Reserve. Instead, they tend to move with longer-term bond yields, particularly the yield on the 10-year Treasury note, because investors compare mortgage-backed securities with Treasury securities.

Those Treasury yields have been moving higher.

Treasury Department data show a significant increase in longer-term government borrowing costs during September. The 10-year Treasury yield rose from 4.83% on Sept. 9 to 5.18% on Sept. 24 and 5.29% on Sept. 30.

One factor has been renewed concern about inflation and how long interest rates will need to remain elevated.

At its Sept. 16 meeting, the Federal Reserve raised its benchmark federal funds rate by a quarter percentage point, putting the target range at 3.75% to 4%. The Fed said economic activity was expanding at a solid pace but that inflation remained elevated.

That matters to mortgage borrowers because expectations about future inflation and Fed policy influence Treasury yields and the mortgage-backed securities market.

The Fed's action doesn't automatically produce an equivalent increase in mortgage rates. But when bond investors expect inflation or interest rates to remain higher for longer, yields on longer-term bonds can rise, pulling mortgage rates along with them.

A significant difference for buyers

Even seemingly small changes in mortgage rates can have a noticeable effect on monthly housing costs.

For example, a buyer borrowing $400,000 with a 30-year fixed mortgage at roughly 7.03% would have a principal-and-interest payment of about $2,670 a month. At 7.28%, the payment rises to roughly $2,740 around $70 more each month, before property taxes and homeowners insurance.

Compared with the 6.34% average rate available a year ago, the difference is considerably larger.

The increase can also reduce the price of the house a buyer can afford. Borrowers trying to keep their monthly payment within a fixed budget may have to make a larger down payment, buy a less expensive home or wait for rates to decline.

The housing market's rate problem

Higher mortgage rates have another effect: They discourage some existing homeowners from selling.

Millions of homeowners obtained mortgages when rates were considerably lower, and selling their homes could mean giving up a low-rate loan and replacing it with one above 7%. That so-called mortgage rate lock-in effect can limit the number of homes coming onto the market.

At the same time, higher borrowing costs can reduce demand because fewer prospective buyers qualify for a mortgage or can afford the monthly payment.

Freddie Mac's survey represents conventional, conforming home-purchase loans made to borrowers with excellent credit who put 20% down, meaning individual borrowers may receive rates that are higher or lower depending on their credit score, down payment, loan type and lender.

For consumers who are ready to buy, comparing offers may be particularly important when rates are volatile. Mortgage rates and fees can vary among lenders, and obtaining several loan estimates can reveal differences that translate into significant savings over the life of a loan.

The recent increase also means buyers should be cautious about assuming rates will quickly return to the levels seen earlier this year. As long as inflation concerns keep longer-term Treasury yields elevated, mortgage rates could remain a major affordability hurdle for the housing market.

Metal bristles can break loose, stick to food and cause serious internal injuries if swallowed

By Mark Huffman of ConsumerAffairs

• Walmart is recalling about 4.48 million Expert Grill metal wire bristle brushes because pieces of wire can detach and end up in food.

• The Consumer Product Safety Commission warns that swallowing a metal bristle can cause serious internal injuries that may require surgery.

• Consumers should immediately stop using the recalled brushes and contact Walmart for a full refund or store credit.

As the grilling season ends in much of the U.S., many consumers will be cleaning the grill surface before they put the grill away for the winter. They should make sure their grill brush hasnt been recalled for a dangerous defect.

Walmart is recalling more than 4.4 million Expert Grill barbecue brushes because metal bristles can break off and potentially be swallowed with grilled food.

The U.S. Consumer Product Safety Commission announced the recall Oct. 1, saying small metal wire bristles can detach from the brushes and stick to the grill or food. If swallowed, the bristles can cause serious internal injuries that could require surgery.

About 4,477,655 brushes are included in the recall. No incidents or injuries have been reported, according to the CPSC.

Five products included in the recall

The recall covers five Expert Grill products, including individual grill brushes and a brush sold as part of a 10-piece grilling tool set.

The recalled products and model numbers are:

• EX5607031616002 Expert Grill 16-inch Steel Fiber Scrub Brush and Scraper for Grills

• EX5607031616003 Expert Grill Handheld Steel Fiber Scrub Brush with Ergonomic Handle for Grill Cleaning

• XG1310700206 Expert Grill 21-inch 3-head Grill Brush with Stainless Steel Bristles and Soft-Grip Handle

• XG1136178597003 Expert Grill Long Handle Grill Brush with Scraper, 17.7 inches

• XG1410700124 Expert Grill Grilling Accessories BBQ Grill Tools Set, 10 Pieces Stainless Steel Grill Kit.

The model number can be found on the product packaging or on a sticker or tag attached to the brush.

Depending on the model, the brushes were distributed between January 2021 and August 2026. They were sold at Walmart stores and online, including Walmart.com, for between $1 and $28. The products were manufactured in China and imported by Walmart.

What consumers should do

Consumers who have one of the recalled brushes should stop using it immediately.

Walmart is offering either a full refund or a credit that can be used at a Walmart store or Walmart.com. Consumers will be instructed either to return the recalled brush to Walmart or discard it.

Consumers can contact Walmart at 800-925-6278, from 7 a.m. to 9 p.m. Central Time Monday through Friday, or visit Walmart's recall information online.

The hazard associated with wire grill brushes can be difficult to detect because a loose bristle may remain on the grill grate and later become embedded in food. The recalled Expert Grill products illustrate why consumers using wire brushes should inspect both the brush and grill surface carefully before cooking.

The CPSC's recall number is 27-010.

From rejecting an ATM's currency conversion to rebooking your hotel, some of the best travel savings happen after you've booked the trip

• Always choose the local currency: Letting a foreign ATM or payment terminal convert your purchase to U.S. dollars can add roughly 3% to 12% to the transaction.

• Book the hotel, then keep shopping: A refundable reservation lets you cancel and rebook if the same room gets cheaper.

• Some savings have a deadline: Certain travel insurance benefits may require you to buy coverage within 14 to 21 days of your first trip payment.

You booked the cheaper holiday flight. Compared hotel prices. Maybe even packed snacks so you wouldn't have to buy a $9 bag of almonds at the airport.

But did you know that some of the easiest travel savings happen after you book?

Personal finance company Achieve recently shared several less-obvious travel savings strategies with ConsumerAffairs. We dug into the research behind them and found five worth knowing before you head out for the holidays.

1. Don't stop checking your hotel price after you book

Most of us comparison shop for a hotel until we hit the reserve button. Then we stop looking.

There's a better approach if your reservation allows free cancellation.

Book the room, put a reminder on your calendar and check the exact same hotel again a week or two later. If you notice that your rate has fallen, just reserve it again at the lower price and cancel the original reservation. But be sure to only cancel after you confirm the new one.

Recent academic research involving more than two million reservations across hundreds of properties examined this cancel-and-rebook concept. They found that a substantial number of hotel reservations became available for less before the check-in date.

That doesn't mean you'll automatically save $100 every time you try this as hotel prices can just as easily rise.

But because hotel rates do fluctuate quite a bit, its smart to book a refundable rate as youll retain the ability to take advantage of a possible lower rate tomorrow.

Make this an easy hack by creating two reminders when you book:

Reminder #1: Check two weeks later.

Reminder #2: Check several days before the free-cancellation deadline.

Just make sure you're comparing apples-to-apples. Meaning the same room type, dates, taxes, resort fees, and any cancellation terms.

2. College dorms could be your next cheap hotel hack

You don't have to be a student to sleep in a dorm. During holiday breaks, some colleges and universities rent unused student accommodations to travelers.

UniversityRooms, a booking platform specializing in the category, lists accommodations at hundreds of colleges and universities around the world.

The rooms aren't likely to be confused with the Four Seasons. You may get a basic dorm room, shared bathroom, or relatively sparse accommodations, but the price will be very attractive.

This strategy makes the most sense in expensive cities where you're primarily looking for a clean place to sleep in a good location, rather than a resort experience.

Before booking a dorm room, its smart to compare the all-in price with nearby hotels, hostels, and any short-term rentals you can find. Also, check whether the dorm bathroom is private or shared, whether linens are included, and how far the campus is from the places you want to visit.

And pay particular attention to the academic calendar. These rooms generally become available when students aren't using them, particularly during summer months and holiday breaks.

Pro tip: A lot of colleges in the U.S. dont actively advertise dorm rooms for rent on big booking sites. So hit up Google and search the name of the university plus visitor housing or guest accommodations and youll quickly find whats available.

3. Use cash for those vacation budget-busters

Here's an experiment worth trying on your next trip.

At the beginning of the day, take out the amount of cash you're comfortable spending on discretionary purchases such as coffee, snacks, drinks, and souvenirs.

When it's gone, you're done.

There's actually some interesting research behind the idea.

A 2024 analysis examined 71 studies involving more than 11,000 participants and over 338,000 transactions. Researchers found a small but statistically significant cashless effect where consumers tend to spend more when paying without cash.

That doesn't mean switching to cash will magically cut your vacation spending by 10%, but it does seem to help psychologically.

When you tap your phone six times for gelato, coffee, a souvenir, and a couple of drinks, each purchase can feel relatively painless. But when you put $80 in your wallet in the morning and see just $17 left by mid-afternoon, that tells a different story.

Think of it this way, it turns I'll try not to spend too much today into an actual number and makes you more aware of the vacation money leaks.

4. At a foreign ATM, don't pick U.S. dollars

This may be the easiest travel savings trick on the list. When you're using a credit card or ATM overseas, the machine may politely ask whether you'd like the transaction processed in U.S. dollars instead of the local currency.

Always choose the local currency.

The dollar option is called dynamic currency conversion, or DCC. The machine is essentially offering to perform the currency conversion for you at its exchange rate rather than allowing your card network or bank to handle it. That convenience can be expensive.

Testing cited by the European Consumer Organisation found consumers paid 2.6% to 12% more when choosing their home currency. Separate research involving 1,500 ATM withdrawals found customers choosing the conversion lost money 99.7% of the time, with an average markup of 7.6%.

Here's how to use this on your next trip: If the terminal asks USD or EUR? and you're in France, choose EUR. If you're in Mexico, choose pesos. In Japan, choose yen.

Also watch for language such as accept conversion or decline conversion. Declining the ATM's conversion doesn't cancel the withdrawal. It generally means you're declining its exchange rate.

One caveat: your bank or credit card may still charge its own foreign transaction or ATM fees, so check those before traveling.

5. Buy travel insurance sooner than you think

Here's one that can matter far more than saving $50 on a hotel.

If you're considering travel insurance and have a pre-existing medical condition, don't assume you can wait until right before departure to buy the policy.

Some policies offer a waiver of their pre-existing-condition exclusion only if coverage is purchased within a relatively short period after your initial trip deposit or payment.

Depending on the policy, that window is usually in the 14-21 days range. Allianz, for example, says certain plans require purchase within 14 days of the first nonrefundable trip payment or deposit. Other policies use different deadlines so be sure to look.

The actionable move: On the day you make your first nonrefundable trip payment, start the travel-insurance decision then, not the week before your departure.

And don't simply ask, Does this policy cover pre-existing conditions? Instead, ask: Does it offer a pre-existing-condition exclusion waiver? What's the deadline? What conditions do I have to meet to qualify?

In conclusion, you already did the hard work finding the cheaper flight. Don't let an ATM, hotel rate, or a few innocent taps of your phone take those savings back.

For $7.99, a Dasher will pick up your return at your door and take it back to the store no box or shipping label required

• DoorDash is launching Dasher Returns, which lets shoppers pay $7.99 to have an eligible retail purchase picked up at home and returned to the store.

• No box or shipping label is required, and DoorDash says a Dasher can arrive in as little as 30 minutes, although timing isn't guaranteed.

• Before using it, check the retailer's return policy. DoorDash can take your purchase back, but it can't make a retailer accept it.

DoorDash is launching a new service called Dasher Returns that lets shoppers pay someone else to take an unwanted retail purchase back to the store.

For a flat $7.99 fee, a Dasher can pick up an eligible retail order at your door and take it back to the retailer. There's no need to find a cardboard box, print a shipping label, or make the trip yourself. DoorDash says pickup can happen in as little as 30 minutes, although pickup and delivery times aren't guaranteed.

The service is available now in select cities and is expected to roll out across the U.S. in November. Its pretty convenient timing with the holiday shopping and returns season right around the corner.

How DoorDash returns work

The new service is for eligible retail orders purchased through the DoorDash Marketplace. You can't use Dasher Returns to return something you bought in-store, or directly though a store's website.

You simply schedule the return, pay $7.99, and hand the item to the Dasher. DoorDash says the Dasher brings it back to the store, where the return is processed on the spot and the merchandise can go directly back on the shelf. Your refund should arrive within days, although DoorDash says the timing can vary.

There's an important catch: DoorDash is providing the ride, but not changing the retailer's return policy.

Before scheduling a pickup, make sure your purchase is still within the retailer's return window and isn't excluded because it's final sale or falls under another restriction. ConsumerAffairs' return-policy guides can help you check the rules at major retailers before sending your purchase back to the store.

Think of DoorDash as your return chauffeur, not your return loophole. If a retailer won't take something back from you, sending a Dasher with it isn't going to change the rules.

Is it worth the $7.99?

This is where I'd do a little math to see if its worth it. If you're planning to head to the retailer tomorrow anyway, paying eight bucks for someone else to make the trip doesn't make much sense.

But imagine the store is 15 miles away. Now factor in a 30-mile round trip, gas, traffic, parking, and potentially standing in a return line. Factor all that in, and $7.99 starts to look like a good trade for your time.

Pro tip: Bundle your errands before paying for convenience. Check whether you have another reason to visit the store or shopping center within the next week. If you do, make the return yourself. If the return requires a special trip, that's when the $7.99 fee becomes much easier to justify.

DoorDash is becoming more like a mall

Returns aren't the only retail expansion DoorDash announced.

The company is adding Macy's, Anthropologie, The North Face, Vans, and Timberland to its retail marketplace. Macy's merchandise will be available through more than 350 stores nationwide, Anthropologie through more than 220, and The North Face, Vans, and Timberland through more than 350 combined locations.

They join retailers already available through DoorDash, including Costco, Barnes & Noble, Gap, Kohl's, and SKIMS. DoorDash says more than half of the National Retail Federation's Top 100 Retailers now partner with the company.

Don't let $7.99 cost you more

There's one psychological trap worth paying attention to.

Say you bought a $30 shirt you don't want. It's tempting to look at the $7.99 return fee and decide it's not worth returning.

But keeping the shirt costs you exactly $30. And that's probably the best way to think about Dasher Returns. You're not paying $7.99 to return something, but you're paying $7.99 to make an errand disappear from your to-do list.

Whether that's a bargain depends on how much that errand is worth to you.