The Fed just raised interest rates again — here's how it happens and why it matters

The Federal Reserve on Wednesday raised its benchmark interest rate for the third time in 2018.
America's central bank adjusts the interest rates that banks charge to borrow from one another, a cost that is eventually passed on to consumers.
The Fed raises rates in a strong economy to contain excesses, and cuts borrowing costs when the economy needs support. 
Banks give out money all the time — for a fee.
When we borrow and then pay back with interest, it's how banks make money.