Meaning of “prime rate” in the English Dictionary


"prime rate" in Business English

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prime ratenoun [ C ]

uk us US US also prime lending rate, US also prime interest rate

FINANCE, BANKING, ECONOMICS the lowest rate of interest that banks charge their best customers for loans over a short period and that is used for calculating the interest rates on other types of loan:

The adjustment is based on the highest prime rate listed in the Wall Street Journal during the previous 90 days.
The prime rate is used as a base for a wide range of loans to businesses and individuals.
See also

(Definition of “prime rate” from the Cambridge Business English Dictionary © Cambridge University Press)