Major U.S. Banks Raise Prime Lending Rate Following Federal Reserve Action

Honolulu, HI, September 17, 2026 —

Several major financial institutions across the United States have increased their prime lending rates. This move by the banks follows a recent decision by the Federal Reserve to raise its benchmark interest rate.

The prime lending rate is a benchmark rate used by banks to set interest rates for various consumer and business loans. When the Federal Reserve adjusts its target for the federal funds rate, banks typically respond by adjusting their prime rates accordingly. An increase in the prime rate can lead to higher borrowing costs for consumers and businesses on products such as credit cards, home equity lines of credit, and business loans.

Details regarding the specific amount of the increase by the Federal Reserve were not provided in the summary. Similarly, the exact magnitude of the prime rate hikes implemented by individual banks has not been specified. The names of the specific major U.S. banks that have raised their rates were also not detailed.

The Honolulu Star-Advertiser reported on this financial development. However, further information concerning the date of the Federal Reserve’s increase, the date of the banks’ subsequent rate adjustments, or the specific implications of these changes for consumers and the broader economy were not included in the available summary. The contractor’s name was not provided. The fine amount was not provided.

The prime lending rate is a significant indicator of credit costs in the economy. Banks often adjust this rate to align with the Federal Reserve’s monetary policy, which aims to influence inflation and economic growth.

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