Historical Prime Interest Rates
Since the Bank Prime Loan Rate was established in 1947, prime interest rates were adjusted 368 times with 1980 seeing the highest amount of rate adjustments within a one-year period to the tune of 38 adjustments. There were no rate adjustments for 7 years between 12/17/08 and 12/16/15 - the longest stretch of stable bank prime loan interest rates. The average prime rate for all time is 9.52% with the minimum and maximum rates of 1.75% and 21.50%, occurring in 1947 and 1980 respectively. The current bank prime loan interest rate of 7.50% is -21.22% below the average prime rate for all time, respectively. This means today’s cost of capital is 21% cheaper, on average.
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