The U.S. prime rate is in principle the interest rate at which a supermajority (3/4ths) of large banks loan money to their most creditworthy corporate clients. As such, it serves as the de facto floor for private-sector lending, and is the baseline from which common "consumer" interest rates are set (e.g. credit card rates). Traditionally, the rate is set to approximately 300 basis points (or 3 percentage points) over the federal funds rate. The Federal Open Market Committee (FOMC) meets eight times per year wherein they set a target for the federal funds rate.
Property | Value |
---|---|
dbo:abstract |
|
dbo:thumbnail | |
dbo:wikiPageID |
|
dbo:wikiPageLength |
|
dbo:wikiPageRevisionID |
|
dbo:wikiPageWikiLink | |
dbp:wikiPageUsesTemplate | |
dcterms:subject | |
rdf:type | |
rdfs:comment |
|
rdfs:label |
|
owl:sameAs | |
prov:wasDerivedFrom | |
foaf:depiction | |
foaf:isPrimaryTopicOf | |
is dbo:wikiPageRedirects of | |
is dbo:wikiPageWikiLink of | |
is foaf:primaryTopic of |