Prime rate reduced to 13% a year
Accordingly, the prime interest rate is reduced from 14% a year to 13% a year while the interest rate for compulsory commercial bank reserves is doubled to 10% a year from the current rate of 5% a year.
US Bancorp announced it will lower its prime lending rate to 6.50 percent from 7.25 percent, effective after the close of business today, January 22, 2008, at all US Bank locations.