Bond yields have jumped to levels last seen before the 2008 crash, and that is bad news for anyone who borrows money — buyers, homeowners, small businesses, and workers.

• Government bond yields spiked past 5%, the highest in 19 years, pushing home loan rates well over 7%.
• A $400,000 home loan now costs thousands more per year in interest alone, with nothing to show for it.
• The Fed has lost the wheel: big investors and foreign governments set these long-term rates, not Washington.
• They are demanding more because US debt crossed $40 trillion and the deficit keeps growing, so buyers want a sweeter deal.
• Car loan defaults hit a 32-year high, credit card balances are compounding, and companies refinancing old debt at double the cost are cutting jobs.

Outlook: There is no painless fix — printing money, growing the Fed's balance sheet, or raising taxes each make things worse, so expect higher borrowing costs, more Wall Street landlords, and money shifting into gold.