WASHINGTON (AP) -- Uncle Sam's bloated budget deficits -- should they persist -- could over time lead to higher interest rates on mortgages, car loans, student loans, business loans and other types of borrowing.The White House's budget office on Monday estimated that next year's budget deficit will hit a record $482 billion -- and that doesn't even account for some $80 billion in war costs.
If the projection proves correct, it would shatter the old record of $413 billion set in 2004. The Bush administration foresees the government continuing to rack up the red ink into 2011.
This year's deficit is expected to total $389 billion.
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