Prime Lending Rate

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Prime Lending Rate

The lowest rate of interest that a financial institution, such as a bank, charges its best customers, usually large corporations, for short-term unsecured loans.

The prime lending rate is an economic indicator and is often used as a measuring point for adjusting interest rates on other types of loans. The rate varies according to economic factors.

West's Encyclopedia of American Law, edition 2. Copyright 2008 The Gale Group, Inc. All rights reserved.
References in periodicals archive ?
This article addresses the disparate features of the data by employing a dynamic ordered probit model of changes in the prime rate to test for two types of possible asymmetry in the prime.
Note that the red and green line that indicates underwriting combined ratio (green for profit and red for loss) generally lags or follows the average prime rate graphed in blue.
Business loans at small banks are more likely to be tied to the prime rate than to market rates.
Nordea Prime Rate is primarily used as a reference rate for housing loans.
Mizuho Corporate Bank's prime rate is linked to the market yields on its five-year, straight bonds.
Prime rate was unchanged from the previous month at 7.75 percent, but the three-month LIBOR rate was also on the move, rising from 4.84 percent to 5.05 percent.
The prime rate has served as, by far, the most common index to which the variable rates on home equity lines have been pegged.
M2 EQUITYBITES-August 2, 2019--Comerica Bank lowers prime rate
BANKING AND CREDIT NEWS-August 2, 2019--Wells Fargo Bank revises prime rate
Global Banking News-August 2, 2019--TCF Bank reduces prime rate
Hercules anticipates a 25 basis point increase in the Prime Rate will contribute approximately $3.2M, or 4c per share, of NII per annum, based on the basic weighted share outstanding as of December 31, 2017.
Global Banking News-December 3, 2010--ING Prime Rate Trust plans to redeem ARPS(C)2010 ENPublishing - http://www.enpublishing.co.uk