Changes in the federal funds by The Wall Street Journal's bank survey, is among the banks in the overnight lending setting home equity lines of offered on bank deposit products.
It alters when three-quarters of these financial institutions adjust their rates. However, the prime rate is typically reserved for the most creditworthy borrowers, such as large corporations and high-net-worth individuals. Changes in the federal funds rate have far-reaching effects by influencing the borrowing cost of banks in the overnight lending market, and subsequently the returns offered on bank deposit products such as certificates of deposit, savings accounts and money market accounts. Access your favorite topics in a personalized feed while you're on the go.
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