prime ratenoun [ C ]
ukusUS US also prime lending rate, US also prime interest rateFINANCE, 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
base rate