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On May 4th, 2022, the prime rate increased to 4.00% (from 3.50% previously).  The increase means loans with a rate of prime plus 1% will now be at 5.00%. If you have questions about the rate increase and impact to your plan, please contact your Client Service Manager.

About the Prime Rate

The prime rate is the interest rate that commercial banks charge their most credit-worthy customers. The prime interest rate, or prime lending rate, is largely determined by the federal funds rate, which is the overnight rate that banks use to lend to one another. For individual borrowers, the prime rate directly affects the lending rates available for a mortgage, small business loan or personal loan (including a loan from a 401(k) account. Prior to this week, the last prime rate increase was in March of 2022.

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The Participant Services team is available to assist you Monday – Friday, from 7:00 a.m. – 6:30 p.m. CST.

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