How do rising interest rates typically affect consumer spending in an economy?

Rising interest rates generally make borrowing money more expensive. When interest rates go up, loans for things like houses, cars, or credit cards cost more because people have to pay higher interest. This can lead consumers to spend less because they might think twice before taking out a loan or making big purchases. For example, if someone wants to buy a new car and sees that the loan interest rate has increased, they might decide to wait or buy a cheaper car instead. As a result, overall consumer spending in the economy may decrease, which can slow down economic growth.