prime rate


noun Banking.

the minimum interest rate charged by a commercial bank on short-term business loans to large, best-rated customers or corporations.

Nearby words

  1. prime minister,
  2. prime mover,
  3. prime number,
  4. prime number theorem,
  5. prime of life,
  6. prime ribs,
  7. prime the pump,
  8. prime time,
  9. prime vertical,
  10. primely

Origin of prime rate

First recorded in 1955–60

Also called prime, prime interest rate, prime lending rate.

Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2019


British Dictionary definitions for prime rate

prime rate

noun

the lowest commercial interest rate charged by a bank at a particular time
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Culture definitions for prime rate

prime rate

The interest rate that banks charge to corporations that are considered excellent risks.

Note

The prime rate is usually the lowest prevailing interest rate; if it rises, rates available to consumers will soon rise.

The New Dictionary of Cultural Literacy, Third Edition Copyright © 2005 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.