Interest rate charged by major banks to their most creditworthy customers. Chicago Board of Trade glossary
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The interest rate at which banks lend to their best ( prime ) customers. More often than not, a bank's most creditworthy ( creditworthiness)customers borrow at rates below the prime rate. Bloomberg Financial Dictionary
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The borrowing rate charged by banks to their best customers.
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prime rate UK US noun [C] 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.
Financial and business terms. 2012.