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prime rate

noun

: an interest rate formally announced by a bank to be the lowest available at a particular time to its most credit-worthy customers

called also prime interest rate

Example Sentences

Recent Examples on the Web The one-year loan prime rate offered by banks was lowered to 3.65% from a previous rate of 3.7%, while the five-year rate was cut to 4.3% from 4.45%, the People’s Bank of China said Monday. Jason Douglas, WSJ, 22 Aug. 2022 Loans with adjustable rates may also see an impact, including home equity lines of credit and adjustable-rate mortgages, which are based on the prime rate. Aimee Picchi, CBS News, 28 July 2022 Some of these are hitched to the prime rate, which is based on the federal funds rate, according to Bankrate.com. Orlando Mayorquin, USA TODAY, 25 July 2022 That’s because those rates are based in part on banks’ prime rate, which moves in tandem with the Fed. Christopher Rugaber, Anchorage Daily News, 28 July 2022 That’s because those rates are based in part on banks’ prime rate, which moves in tandem with the Fed. Christopher Rugaber, Chicago Tribune, 27 July 2022 That’s because those rates are based in part on banks’ prime rate, which moves in tandem with the Fed. Christopher Rugaber, ajc, 27 July 2022 That’s because those rates are based in part on banks’ prime rate, which moves in tandem with the Fed. Christopher Rugaber, BostonGlobe.com, 27 July 2022 The rates on their cards would rise as the prime rate does. Christopher Rugaber, Chicago Tribune, 16 June 2022 See More

Word History

First Known Use

1924, in the meaning defined above

Time Traveler
The first known use of prime rate was in 1924

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