The Federal Reserve didn't hold back when it cut interest rates for the first time in more than four years.

The central bank announced a jumbo cut of 50 basis points, ending its ongoing battle against post-pandemic inflation and giving investors exactly what they wanted.

While the cut was never in question, its size was widely debated heading into Wednesday's announcement. The speculation was that opting for the larger cut might indicate the Fed is worried about the economy. (The worse things are, the more relief is needed, the thinking goes.)

Fed Chair Jerome Powell threw cold water on those concerns. In a press conference after the announcement, Powell said he believes the economy is moving in the right direction.

But don't get used to jumbo cuts, as Powell said Wednesday's 50-point reduction doesn't guarantee the central bank will maintain that pace going forward.

So what does this rate cut mean for ... everything?

First off, don't expect any immediate changes. It'll take a while before the effects of the cut reach the rest of us.

But that doesn't mean you can't plan ahead. Our colleagues at Personal Finance Insider have covered the eventual impacts the rate cut will have on various financial products.

Let's start with mortgage rates, since that's an area people naturally think of when it comes to interest rates. Bad news, prospective homebuyers: Don't expect mortgage rates to drop much in response to the Fed's announcement, as the market has already priced in the reduction.

And if you're locked into a high mortgage rate, maybe hold off on refinancing until a few more cuts materialize.

Another key consideration is where to park your cash. The cut means the rates banks offer for their savings accounts will likely go down eventually.

As a result, you might want to consider investing some of the cash you may have sitting on the sidelines in high-yield savings and money market accounts.

But experts emphasized it's important not to panic regarding your investments. Instead, use the new rate as a chance to reevaluate your investment strategy. That could include further diversifying your investments or even diving back into bonds.

The rate reduction also won't be enough to significantly lower high-interest credit card debt. Instead, you'll still have to do it the hard way: Consolidating debt and prioritizing just paying it off.

The Insider Today team: Dan DeFrancesco, deputy editor and anchor, in New York. Hallam Bullock, senior editor, in London. Milan Sehmbi, fellow, in London. Amanda Yen, fellow, in New York.