Banks set it 3 percentage points above the top of the Federal Reserve’s federal funds target range, so it changes when the Fed changes rates, and most variable credit card APRs move with it.
Checked Oct 27, 2026against the Federal Reserve’s H.15 releaseEvery change (CSV)
Last change
+0.25 pointSep 17, 2026, from 6.75%
Highest
21.50%Dec 19, 1980
Lowest
3.25%1955, 2008–2015 and 2020–2022
Series
Since 1955First published Aug 4, 1955
Prime rate changes since 2000
Prime rate, the day each change took effect75 changes since 2000 · Board of Governors of the Federal Reserve System (H.15), via FRED
DatePrime rateChange
Sep 17, 20267.00%▲+25 bp
Dec 11, 20256.75%▼−25 bp
Oct 30, 20257.00%▼−25 bp
Sep 17, 20257.25%▼−25 bp
Dec 19, 20247.50%▼−25 bp
Nov 8, 20247.75%▼−25 bp
Sep 19, 20248.00%▼−50 bp
Jul 27, 20238.50%▲+25 bp
May 4, 20238.25%▲+25 bp
Mar 23, 20238.00%▲+25 bp
All 75 changes since 2000
Feb 2, 20237.75%▲+25 bp
Dec 15, 20227.50%▲+50 bp
Nov 3, 20227.00%▲+75 bp
Sep 22, 20226.25%▲+75 bp
Jul 28, 20225.50%▲+75 bp
Jun 16, 20224.75%▲+75 bp
May 5, 20224.00%▲+50 bp
Mar 17, 20223.50%▲+25 bp
Mar 16, 20203.25%▼−100 bp
Mar 4, 20204.25%▼−50 bp
Oct 31, 20194.75%▼−25 bp
Sep 19, 20195.00%▼−25 bp
Aug 1, 20195.25%▼−25 bp
Dec 20, 20185.50%▲+25 bp
Sep 27, 20185.25%▲+25 bp
Jun 14, 20185.00%▲+25 bp
Mar 22, 20184.75%▲+25 bp
Dec 14, 20174.50%▲+25 bp
Jun 15, 20174.25%▲+25 bp
Mar 16, 20174.00%▲+25 bp
Dec 15, 20163.75%▲+25 bp
Dec 17, 20153.50%▲+25 bp
Dec 16, 20083.25%▼−75 bp
Oct 29, 20084.00%▼−50 bp
Oct 8, 20084.50%▼−50 bp
Apr 30, 20085.00%▼−25 bp
Mar 18, 20085.25%▼−75 bp
Jan 30, 20086.00%▼−50 bp
Jan 22, 20086.50%▼−75 bp
Dec 11, 20077.25%▼−25 bp
Oct 31, 20077.50%▼−25 bp
Sep 18, 20077.75%▼−50 bp
Jun 29, 20068.25%▲+25 bp
May 10, 20068.00%▲+25 bp
Mar 28, 20067.75%▲+25 bp
Jan 31, 20067.50%▲+25 bp
Dec 13, 20057.25%▲+25 bp
Nov 1, 20057.00%▲+25 bp
Sep 20, 20056.75%▲+25 bp
Aug 9, 20056.50%▲+25 bp
Jun 30, 20056.25%▲+25 bp
May 3, 20056.00%▲+25 bp
Mar 22, 20055.75%▲+25 bp
Feb 2, 20055.50%▲+25 bp
Dec 14, 20045.25%▲+25 bp
Nov 10, 20045.00%▲+25 bp
Sep 21, 20044.75%▲+25 bp
Aug 10, 20044.50%▲+25 bp
Jun 30, 20044.25%▲+25 bp
Jun 27, 20034.00%▼−25 bp
Nov 7, 20024.25%▼−50 bp
Dec 12, 20014.75%▼−25 bp
Nov 7, 20015.00%▼−50 bp
Oct 3, 20015.50%▼−50 bp
Sep 18, 20016.00%▼−50 bp
Aug 22, 20016.50%▼−25 bp
Jun 28, 20016.75%▼−25 bp
May 16, 20017.00%▼−50 bp
Apr 19, 20017.50%▼−50 bp
Mar 21, 20018.00%▼−50 bp
Feb 1, 20018.50%▼−50 bp
Jan 4, 20019.00%▼−50 bp
May 17, 20009.50%▲+50 bp
Mar 22, 20009.00%▲+25 bp
Feb 3, 20008.75%▲+25 bp
What the prime rate means for your credit card
Most credit cards have a variable APR written as “Prime Rate + a margin”. When the prime rate moves, the APR follows, usually from the next billing cycle; the margin stays put.
The rate banks use as the base for many variable-rate loans: credit cards, home equity lines of credit and some business and personal loans. The Federal Reserve publishes the rate most large banks post as the “bank prime loan rate”; it matches the Wall Street Journal prime rate.
Who sets the prime rate?
Each bank sets its own, but since the mid-1990s large banks have kept it 3 percentage points above the top of the federal funds target range, which the Federal Reserve’s policy committee sets at its eight scheduled meetings a year.
When does the prime rate change?
Usually the day after the Federal Reserve changes its target range. It last changed on Sep 17, 2026.
What is the highest the prime rate has been?
21.50%, set on Dec 19, 1980, when the Federal Reserve was fighting double-digit inflation. The lowest since the series began in 1955 is 3.25%: 1955, 2008–2015 and 2020–2022.
Does the prime rate affect my savings account?
Indirectly. Savings and CD rates follow the same Federal Reserve decisions, so they tend to fall when the prime rate falls, but banks set them freely.