The answer is "a. The prime rate is the best interest rate that banks offer their most creditworthy customers".
The prime rate is the interest rate that business banks charge their most trustworthy clients. For the most part, a bank's best clients comprise of extensive companies. The prime interest rate, or prime lending rate, is to a great extent dictated by the government finances rate, which is the medium-term rate that banks use to loan to each other. The prime rate is likewise critical for individual borrowers, as the prime rate straightforwardly influences the loaning rates accessible for a home loan, private venture advance or individual credit.
