The Prime Rate increased to 8.50% effective July 27, 2023.

Prime Rate

What is the Prime Rate?

The Prime Rate is the interest rate charged by banks to their most creditworthy customers (usually the most prominent and stable business customers). The prime rate is almost always the same amongst major banks. Banks make adjustments to the prime rate at the same time; although the rate does not adjust on any regular basis.  The Prime Rate today is usually adjusted at the same time and in correlation to the adjustments of the Fed Funds Rate, which is set by a special rate setting committee of the Federal Reserve called the FOMC. In recent history, the Prime Interest Rate has been set at 3% over the high end of the range for Fed Funds.

The graph and chart reported below are based upon the rates on the first day of each respective month over the past decade.   Some banks use the name “Reference Rate” or “Base Lending Rate” or “Base Rate” or “Preferred Rate” to refer to their current Prime Rate which they use as a benchmark for commercial loans and consumer loans.  Publications may also refer to the Wall Street Journal Prime Lending Rate or the WSJ Prime Lending Rate. In addition to commercial loans and credit card rates, many consumer loans are based upon the Prime Rate today, including credit products like home equity loans, car loans, and personal loans.

Current Prime Rate

Recent Prime Rate History

(rate on first of each month – for specific change dates see here)

Source: Federal Reserve Board, Proprietary Bank Surveys

Complete Prime Rate History

(1930 to Present – for specific change dates see here)

Prime Rate Change Dates Since 1955

This page explains what is today’s prime rate. If you are looking for mortgage rates, they can be found on our Mortgage Rates page.

Reasonable efforts are made to maintain accurate information. However, information could contain errors or inaccuracies and is presented without warranty. No liability is assumed for errors or omissions.