A bank's __________ rate is the lowest published rate of interest at which the bank lends to its best and most creditworthy commercial customers.

Question

Quizplus · Accepted Answer

The term "prime rate" refers to a bank's lowest published rate of interest at which it lends to its best and most creditworthy commercial customers. This rate is usually used as a benchmark for other types of loans, such as adjustable-rate mortgages and credit cards.

A Bank's __________ Rate Is the Lowest Published Rate of Interest