e2_19910625.pdf

FEDERAL RESERVE statistical release LIBRARY

E.2A SURVEY OF TERMS OF BANK LENDING MADE DURING MAY 6-10,1991 Loans to farmers

J U L - 2 1991

TTFTtTO A T . R E S E R V E B A N K

For Immediate Release June 25,1991

Size cJQg FH&cAQI HuEHEA) all sizes $1-9 $10-24 $25-49 $50-99 $100-249 $250 and over

ALL B A N K S

Amount of loans (thousands) Number of loans , Weighted average maturity (months)

1,801,614 57,176

9.7

136,850 36,822

8.3

171,192 11,776

9.2

149,541 4,483

13.0

162,855 2,440 22.2

179,425 1,207

15.5

1,001,750 447 6.2

Weighted average interest rate (percent)2 Standard error 3 Interquartile range 4 By purpose of loan

Feeder livestock Other livestock Other current operating expenses Farm machinery and equipment Farm real estate Other

9.84 0.32

8.77 - 11.02

10.35 11.53 10.69 11.41 10.17 8.62

11.56 0.06

11.02- 12.19

11.30 11.74 11.57 11.79 10.93 11.22

11.41 0.11

10.52- 12.19

11.11 12.30 11.39 11.58 10.95 11.29

10.86 0.22

9.96- 11.63

10.35 12.60 10.84 11.27 10.61 10.83

10.62 0.10

9.65-11.57

10.10 12.21 10.69 11.24 10.33 10.44

10.55 0.19

9.50- 11.63

10.10 11.00 11.02 11.77 9.61

10.04

8.94 0.35

8.77- 9.38

10.33 10.33 9.10

10.44

8.36

Percentage of the amount of loans With floating rates Made under commitment By purpose of loan


72.5 82.3

20.1 3.9

31.1 2.9 2.5

39.6

52.3 55.3

7.9 7.3

72.0 6.9 1.1 4.7

58.9 57.1

10.8 6.5

63.9 6.4 3.1 9.2

65.0 59.8

17.8 5.4

55.8 5.2 3.5

12.4

67.1 64.3

22.9 6.1

46.2 5.6 8.9

10.2

71.9 69.2

24.3 9.0

37.5 4.7 9.9

14.6

79.6 98.9

22.4 1.5

12.6 0.6

63.0

L A R G E F A R M L E N D E R S 5

Amount of loans (thousands) Number of loans 4 Weighted average maturity (months)'

1,250,695 11,791

7.3

22,295 5,792

8.5

37,924 2,542

8.4

50,542 1,487

11.9

64,355 940 10.3

88,547 606 16.4

987,033 424 6.2

Weighted average interest rate (percent) 2 : Standard error 3 i Interquartile range 4

By purpose of loan Feeder livestock

( Other livestock i Other current operating expenses i Farm machinery and equipment

Farm real estate Other

9.20 0.31

8.77 - 9.96

10.28 10.45 9.63

11.02 9.78 8.47

10.79 0.14

10.57 - 12.19

10.54 10.82 10.87 11.31 10.23 10.60

10.45 0.08

10.00 - 11.51

10.68 11.09 10.40 11.01 10.35 10.23

10.29 0.15

9.73 - 11.07

10.26 10.14 10.27 11.46 10.08 10.32

10.16 0.12

9.65 - 10.92

10.36 10.60 10.03 11.04 9.82 9.98

9.90 0.13

9.42 - 10.62

9.76 10.65 9.98

12.23 9.54 9.81

8.94 0.36

9.31 - 10.25

10.33 10.33 9.10

10.44

8.35

Percentage of the amount of loans With floating rates Made under commitment By purpose of loan


81.8 96.0

23.9 2.2

18.3 1.0 1.7

52.9

87.8 84.3

12.8 3.3

66.3 3.3 3.9

10.5

90.2 84.2

14.6 2.7

56.3 3.6 6.3

16.4

89.0 81.9

27.4 4.0

42.7 3.0 6.5

16.5

90.2 85.4

31.2 5.1

39.7 1.7 4.8

17.6

93.4 87.7

36.0 6.0

22.8 2.3

13.4 19.4

79.3 98.9

22.8 1.5

12.8 0.6

62.4 O T H E R B A N K S 5

Amount of loans (thousands) Number of loans , Weighted average maturity (months)1

550,919 45,385

13.7

114,555 31,030

8.3

133,268 9,234

9.4

98,999 2,996

13.4

98,500 1,500 27.2

90,878 601 14.9

14,718 23

4.7

Weighted average interest rate (percent)2 Standard error 3 Interquartile range 4 By purpose of loan


11.29 0.18

8.77 - 9.38

10.69 12.21 11.42 11.54 10.54 10.59

11.70 0.06

11.14 - 12.28

11.57 11.82 11.70 11.83 11.84 11.57

11.68 0.11

11.05 - 12.31

11.29 12.43 11.63 11.66 11.43 11.98

11.15 0.35

10.53 -11.91

10.46 13.41 11.04 11.22 11.48 11.24

10.92 0.18

10.01 -11.83

9.79 13.00 11.03 11.27 10.47 11.43

11.18 0.31

10.50 -12.19

11.01 11.18 11.47 11.63 9.76

10.48

8.72

8.72 - 8.72

8.72 Percentage of the amount of loans

With floating rates Made under commitment By purpose of loan


51.4 51.1

11.4 7.8

60.0 7.1 4.2 9.6

45.4 49.7

7.0 8.1

73.1 7.6 0.6 3.6

50.0 49.4

9.7 7.6

66.0 7.2 2.2 7.2

52.7 48.5

12.8 6.1

62.5 6.3 2.0

10.3

52.0 50.5

17.5 6.8

50.4 8.3

11.6 5.4

50.9 51.1

12.8 11.9 51.7 7.1 6.5 9.9

100.0 100.0

100.0

46

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

NOTES

The Survey of Terms of Bank Lending to Farmers collects data on gross loan extensions made during the first full business week in the mid-month of each quarter by a sample of 250 banks of all sizes. The sample data are blown up to estimate the lending terms at all insured agricultural banks during that week. The estimated terms of bank lending are not intended for use in collecting the terms of loans extended over the entire quarter or residing in the portfolios of those banks. Loans of less than $1,000 are excluded from the survey. Beginning with the August 1986 survey, loans secured by farm real estate are included in the survey, and one purpose of a loan may be "purchase or Improve farm real estate". In previous surveys, the purpose of such loans are reported as "other".

1. Average maturities are weighted by loan size and exclude demand loans.

2. Effective (compounded) annual interest rates are calculated from the stated rate and other terms of the loans and weighted by loan size,

3. The chances are about two out of three that the average rate shown would differ by less than this amount from the average rate that would be found by a complete survey of lending at all banks.

4. The Interquartile range shows the interest rate range that encompasses the middle 50 percent of the total dollar amount of loans made.

5. Among banks reporting loans to farmers, most "large banks" (survey strata 1 and 2) had over $20 million in farm loans, most "other banks" (survey strata 3 to 5) had farm loans below $20 million.

NOTE: THIS RELEASE, THE E.2A, FORMERLY WAS TABLE 5 OF THE E.2. YOU MAY EITHER SWITCH YOUR SUBSCRIPTION FROM THE E.2 TO THE E.2A, OR YOU MAY SUBSCRIBE TO BOTH BY CONTACTING PUBLICATION SERVICES, MAIL STOP 138; FEDERAL RESERVE BOARD; WASHINGTON, D C. 20551. IF YOU DO NEITHER OF THESE, YOU WILL NOT RECEIVE THE E.2A AFTER 1991-Q3.


•/oOlGOw. --.

FEDERAL RESERVE statistical release LIBRARY

1 • :^AL re**; *

E.2 SURVEY OF TERMS OF BANK LENDING MADE DURING MAY 6-10,1981 TABLE 1 Commercial and Industrial loans made by all commercial banks1

J U N 2 7 1991

FEDERAL RESERVE BANK OF PHILADELPHIA

For Immediate Release June 25,1991

Loan Characteristics Amount of Loans ($1,000)

Average Size

($1,000)

Weighted Average Maturlty2

Loan Rate (percent)

Weighted Average Effective®

Standard Error4

Percent of Amount of Loans

Secured by Collateral

Made Under

Commitment Participation

Most Common

Base Pricing Rate 5

All C&l loans Days

1 Overnight6 11,135,173 6,269 - 6.79 0.26 7.9 62.7 9.7 Fed Funds

One month and under 2 (excluding overnight) 5,489,162 616 15 7.26 0.19 24.1 88.5 12.7 Other 3 Fixed rate 4,038,606 965 15 6.92 0.31 19.8 86.3 14.0 Other 4 Floating rate 1,450,555 307 16 8.21 0.20 36.0 94.5 9.1 Prime

Over one month and 5 under one year 10,211,378 160 115 8.16 0.17 48.4 79.2 15.2 Prime 6 Fixed rate 5,898,632 203 76 7.56 0.28 37.9 76.4 20.6 Foreign 7 Floating rate 4,312,746 124 168 8.97 0.19 62.8 83.0 7.9 Prime

8 Demand7 12,313,094 212 __ 8.49 0.16 61.7 73.6 4.9 Prime 9 Fixed rate 2,112,905 382 — 7.43 0.27 28.9 83.5 5.2 Other

10 Floating rate 10,200,188 194 - 8.71 0.17 68.5 71.6 4.8 Prime

11 Total under one year 39,148,807 296 47 7.75 0.16 37.7 74.1 10.1 Prime Fixed rate

39,148,807

12 By size ($1,000) 23,184,963 571 25 7.07 0.27 19.5 72.2 12.8 Other 13 1 - 9 9 474,384 14 133 11.19 0.21 74.2 32.8 0.7 Other 14 100 - 499 474,294 198 113 9.58 0.23 72.7 44.8 3.2 Other 15 500 - 999 404,528 686 57 7.64 0.11 39.6 80.6 14.2 Other 16 1000 - 4999 3,854,614 2,336 33 7.29 0.07 29.0 74.7 13.7 Other 17 5000 - 9999 4,186,536 6,560 25 7.15 0.10 21.5 77.3 11.3 Other 18 10000 + 13,790,607 17,833 16 6.74 0.13 12.0 72.0 13.8 Other

Floating rate 13,790,607 17,833

19 By size ($1,000) 15,963,844 174 130 8.74 0.17 64.0 76.8 6.0 Prime 20 1 - 9 9 1,811,191 25 164 10.22 0.06 83.0 79.4 2.3 Prime 21 100 - 499 3,074,840 198 156 9.68 0.06 77.8 83.7 5.6 Prime 22 500 - 999 1,368,116 665 187 9.23 0.06 71.1 86.6 9.3 Prime 23 1 000 - 4999 3,457,228 1,930 127 8.79 0.12 61.8 89.3 6.9 Prime 24 5000 - 9999 1,534,008 6,754 115 8.46 0.35 43.1 75.9 12.0 Prime 25 10000 + 4,718,461 19,876 81 7.46 0.41 54.1 59.4 4.2 Fed Funds

Months

26 Total one year and over 4,170,318 198 40 9.24 0.17 69.9 76.5 10.5 Prime Fixed rate

27 By size ($1,000) 909,166 105 42 8.72 0.31 59.9 63.8 4.6 Other 28 1 - 9 9 150,611 19 38 11.24 0.07 92.1 18.3 0.1 Other 29 100 - 499 102,231 225 47 9.97 0.22 87.9 48.5 8.3 Prime 30 500 - 999 64,693 705 43 8.98 0.69 68.0 68.8 12.6 Other 31 1000 + 591,631 3,647 42 7.84 0.39 46.0 77.5 4.3 Fed Funds

Floating rate 591,631 3,647

32 By size ($1,000) 3,261,153 264 40 9.38 0.16 72.6 80.1 12.1 Prime 33 1 - 9 9 229,482 28 41 10.64 0.18 86.8 54.5 1.9 Prime 34 100-499 643,024 201 37 9.81 0.11 82.4 60.8 11.9 Prime 35 500 - 999 267,259 641 35 9.52 0.18 68.0 88.3 16.5 Prime 36 1000 + 2,121,388 4,187 41 9.10 0.41 68.7 87.7 12.7 Prime

Prime 1 i I ! o Days Nomina# Rate®

37 Overnight® 10,760,370 8,644 — 6.71 6.50 7.6 62.7 10.1 8.51

One month and under 38 (excluding overnight) 4,621,642 2,841 14 6.81 6.59 19.5 88.8 12.9 8.52

Over one month and 39 under one year 6,538,416 743 82 7.09 6.88 34.3 83.7 20.1 8.60

40 Demand7 5,017,959 1,520 — 6.79 6.66 46.6 56.5 3.1 8.72

41 Total under one year 26,938,386 1,800 28 6.84 6.64 23.4 71.1 11.7 8.57 42 Fixed rate 21,446,984 2,603 21 6.81 6.61 16.8 73.1 13.3 8.52 43 Floating rate 5,491,402 816 93 6.92 6.74 49.2 63.4 5.2 8.77

Months

44 Total one year and over 1,022,985 329 38 7.16 6.97 38.4 90.1 7.0 8.70 45 Fixed rate 490,964 289 41 7.24 7.06 44.3 85.0 3.7 8.64 46 Floating rate 532,021 376 35 7.09 6.88 32.9 94.9 10.1 8.75

Footnotes appear on the last page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

E.2 SURVEY OF TERMS OF BANK LENDING MADE DURING MAY 6-10,1991 TABLE 2 » Commercial and Industrial loans made by large banks1

Loan Rate (percent) Percent of Amount of Loans Most

Common Amount Average , Size

(*1,000)



Made Under Most

Common Loan Characteristics of Loans

($1,000)

Average , Size

(*1,000)



Standard Error4


Commitment Participation Base

Pricing Rate 5

All C&l loans Days

1 Overnight6 8,237,151 8,244 - 6.87 0.25 7.9 55.4 11.4 Other

One month and under 2 jwduding overnight)

4 Floating rate

3,988,724 2,973,892 1,014,832

2,594 4,907 1,089

14 15 13

7.16 6.93 7.83

0.16 0.23 0.20

24.1 19.8 36.0

89.9 87.5 97.0

13.1 15.4

6.4

Other Other Prime

Over one month and 5 under one year 6 Fixed rate 7 Floating rate

6,239,985 4,091,198 2,148,787

1,063 2,826

486

96 69

147

7.58 7.24 8.24

0.14 0.17 0.19

48.4 37.9 62.8

86.5 82.5 94.1

21.2 27.2 9.8

Foreign Foreign Prime

8 Demand7

9 Fixed rate 10 Floating rate

7,553,073 1,305,876 6,247,197

406 1,161

358

— 8.20 7.38 8.37

0.15 0.24 0.16

61.7 28.9 68.5

64.6 85.3 60.3

4.3 0.2 5.1

Prime Domestic Prime

11

12 13 14 15 16 17 18

19 20 21 22 23 24 25

Total under one year Fixed rate

By size ($1,000) 1 -99

100 - 499 500-999

1000 - 4999 5000 - 9999

10000 + Floating rate

By size ($1,000) 1 -99

100 - 499 500 - 999

1000 - 4999 5000 - 9999

10000 +

26 Total one year and over Fixed rate

27 By size ($1,000) 28 1 -99 29 100 - 499 30 500 - 999 31 1000 +

Floating rate 32 By size ($1,000) 33 1 - 9 9 34 100-499 35 500 - 999 36 1000 +

26,018,933 964 36 7.47 0.13 37.7 70.8 12.0

16,607,763 3,977 22 7.01 0.17 19.5 70.2 15.1 31,878 27 122 9.90 0.21 74.2 41.8 2.7

116,803 227 77 8.40 0.28 72.7 74.7 6.6 211,525 689 55 7.76 0.10 39.6 79.8 16.1

2,702,210 2,417 34 7.41 0.11 29.0 74.6 14.1 3,063,130 6,564 27 7.17 0.12 21.5 76.3 13.2

10,482,218 18,138 17 6.82 0.15 12.0 67.1 16.1

9,411,170 412 104 8.28 0.15 64.0 72.0 6.3 437,122 29 154 9.84 0.08 83.0 87.6 1.4

1,095,233 202 142 9.46 0.07 77.8 89.7 4.7 606,664 663 132 9.18 0.07 71.1 90.4 6.3

1,963,298 1,942 111 8.66 0.10 61.8 87.7 8.3 1,123,836 6,888 115 8.37 0.43 43.1 74.5 16.4 4,185,017 21,116 78 7.48 0.41 54.1 54.9 3.7

Months

2,467,207 756 41 8.84 0.15 69.9 91.2 9.1

416,369 654 37 7.97 0.28 59.9 84.0 3.9 10,732 30 32 10.58 0.37 92.1 45.4 0.0 29,207 216 42 9.11 0.34 87.9 74.2 7.6 32,859 655 44 9.04 0.64 68.0 81.1 19.3

343,572 3,711 36 7.68 0.26 46.0 86.3 2.2

2,050,839 781 41 9.02 0.13 72.6 92.7 10.2 36,989 34 33 9.93 0.05 86.8 76.2 6.0

216,532 223 36 9.63 0.06 82.4 81.9 13.2 164,346 680 38 9.34 0.17 68.0 88.1 14.4

1,632,971 5,116 43 8.88 0.44 68.7 95.0 9.5

Other

Other Prime Other Other Other Other Other

Prime Prime Prime Prime Prime Prime Fed Funds

Prime

Other Prime Other Prime Fed Funds

Prime Prime Prime Prime Prime

Loans made below prime10

37 Overnight6

One month and under 38 (excluding overnight)

Over one month and 39 under one year

40 Demand7

41 Total under one year 42 Fixed rate 43 Floating rate

44 Total one year and over 45 Fixed rate 46 Floating rate

Days Nomina|8 Prime

7.952.654

3.508.655

4,956,159

3,718,946

20,136,414 15,771,616 4,364,798

732,539 276,556 455,983

8,911

5,699

4,100

4,519

5,688 5,950 4,909

2,790 2,468 3,029

14

78

27 21 79

Months

32 37 30

6.79

6.85

7.03

6.73

6.85 6.87 6.76

6.94 7.20 6.78

6.57

6.63

6.83

6.59

6.65 6.66 6.58

6.77 7.06 6.59

5.7

19.8

33.8

54.1

24.0 16.4 51.4

38.5 59.0 26.0

55.5

89.3

85.4

46.3

67.1 69.8 57.3

94.8 90.1 97.7

11.8

12.7

24.2

0.5

12.9 15.3 4.3

7.1 2.0

10.2

8.51

8.50

8.51

8.72

8.55 8.51 8.69

8.53 8.57 8.50

Footnotes appear on the last page.


E.2 SURVEY OF TERMS OF BANK LENDING MADE DURING MAY 6-10,1991 TABLE 3 Commercial and Industrial loans made by other banks1

Loan Rate (percent) Percent of Amount of Loans Most

Common Amount Average Size

($1,000)

Weighted Average Maturity^

Weighted Average Effective3

Made Under Most

Common Loan Characteristics of Loans

($1,000)

Average Size

($1,000)

Weighted Average Maturity^

Weighted Average Effective3

Standard Error4


Commitment Participation Base

Pricing Rate 5

All C&l loans Days

1 Overnight6 2,898,022 3,729 - 6.58 0.37 13.0 83.5 4.8 Fed Funds

One month and under 2 jexckrilng overnight)

4 Floating rate

1,500,437 1,064,714

435,723

204 298 115

17 15 24

7.53 6.88 9.11

0.23 0.35 0.17

27.6 14.9 58.8

84.7 83.1 88.9

11.7 10.1 15.4

Domestic Domestic Prime

Over one month and 5 under one year 6 Fixed rate 7 Floating rate

3,971,393 1,807,434 2,163,960

69 65 72

144 91

189

9.06 8.29 9.70

0.20 0.34 0.18

60.1 43.9 73.5

67.7 62.6 72.0

5.8 5.6 6.0

Prime Domestic Prime

8 Demand7

9 Fixed rate 10 Floating rate

4,760,021 807,029

3,952,992

121 183 113

- 7.52 9.25

0.18 0.32 0.18

62.9 38.4 67.9

87.9 80.4 89.4

5.8 13.3 4.3

Prime Other Prime

11 Total under one yecr Fixed rate

12 By size ($1,000) 13 1 - 9 9 14 100 - 499 15 500 - 999 16 1 000 - 4999 17 5000 - 9999 18 10000 +

Floating rate 19 By size ($1,000) 20 1 - 9 9 21 100 - 499 22 500 - 999 23 1000 - 4999 24 5000 - 9999 25 10000 +

13,129,874

6,577,200 442,506 357,491 193,004

1,152,404 1,123,406 3,308,390

6,552,674 1,374,070 1,979,607

761,452 1,493,930

410,172 533,444

125

181 13

190 681

2,164 6,552

16,929

95 24

197 666

1,915 6,413

13,606

72

32 134 121 59 32 20 14

161 166 161 224 152 116 101

8.30

7.21 11.29 9.96 7.51 7.01 7.08 6.47

9.39 10.34 9.80 9.27 8.95 8.69 7.32

0.19

0.31 0.22 0.45 0.25 0.24 0.14 0.07

0.19 0.07 0.09 0.10 0.14 0.49 0.69

47.0

24.9 76.0 80.2 39.0 32.3 23.6

9.2

69.2 83.5 81.6 76.2 64.3 24.8 23.6

80.4

77.3 32.1 35.1 81.4 74.8 79.8 87.6

83.6 76.7 80.3 83.6 91.5 80.0 94.6

6.3

6.9 0.6 2.1

12.0 12.7 6.1 6.3

5.6 2.6 6.2

11.7 5.0 0.0 8.3

Prime

Other Other Other Other

. Other Other Domestic

Prime Prime Prime Prime Prime Prime Other

Months

26 Total one year and over Fixed rate

27 By size ($1,000) 28 1 -99 29 100 - 499 30 500 - 999 31 1000 +

Floating rate 32 By size ($1,000) 33 1 - 9 9 34 100-499 35 500-699 36 1000 +

1,703,111

492,797 139,879 73,024 31,834

248,059

1,210,314 192,494 426,492 102,913 488,416

96

62 18

228 766

3,562

124 27

191 587

2,605

40

46 38 49 43 50

37 43 37 31 36

9.81

9.36 11.29 10.31 8.91 8.05

9.99 10.78 9.90 9.81 9.81

0.19

0.37 0.10 0.32 0.80 0.70

0.13 0.20 0.16 0.24 0.21

72.6

62.0 93.2 96.2 70.2 33.4

76.9 89.2 86.0 70.8 65.4

55.3

46.8 16.2 38.2 56.0 65.3

58.8 50.3 50.0 88.7 63.4

12.4

5.2 0.1 8.5 5.6 7.1

15.3 1.2

11.3 19.8 23.5

Prime

Other Other Prime Other Domestic

Prime Prime Prime Prime Prime

Prime


37 Overnight6

Days Nominal8 Rate9


37 Overnight6 2,807,716 7,967 — 6.50 6.30 13.3 83.1 5.0 8.50

One month and under 38 (excluding overnight) 1,112,986 1,101 15 6.70 6.49 18.5 87.1 13.7 8.56

Over one month and 39 under one year 1,582,257 209 94 7.28 7.05 35.9 78.4 7.2 8.87

40 Demand7 1,299,013 524 — 6.98 6.84 25.0 85.6 10.7 8.73

41 Total under one year 42 Fixed rate 43 Floating rate

6,801,972 5,675,368 1,126,605

595 1,015

193

31 20

146

6.81 6.66 7.54

6.61 6.46 7.37

21.6 17.9 40.6

83.1 82.3 87.2

8.0 7.9 8.8

8.64 8.56 9.07

Months

44 Total one year and over 45 Fixed rate 46 Floating rate

290,445 214,408 76,037

102 135

60

53 47 67

7.72 7.28 8.94

7.46 7.06 8.60

38.1 * 25.3 74.2

78.3 78.4 78.1

6.8 5.9 9.2

9.13 8.73

10.24

Footnotes appear on the last page.


NOTES

The Survey of Terms of Bank Lending to Business collects data on gross loan extensions made during the first full business week in the mid-month of each quarter by a sample of 340 commercial banks of all sizes. The sample data are used to estimate the terms of loans extended during that week at all insured commercial banks. The estimated terms of bank lending are not intended for use in collecting the terms of loans extended over the entire quarter or residing In the portfolios of those banks.

1. As of September 30,1990, assets of most of the large banks were at least $7.0 billion. For all insured banks, total assets averaged $275 million.

2. Average maturities are weighted by loan size and exclude demand loans.

3. Effective (compounded) annual interest rates are calculated from the stated rate and other terms of the loans and weighted by loan size.

4. The chances are about two out of three that the average rate shown would differ by less than this amount from the average rate that would be found by a complete survey of lending at all banks.

5. The most common base rate is that used to price the largest dollar volume of loans. Base pricing rates include prime rate (sometimes referred to as a bank's "basic" or "reference" rate); the federal funds rate; domestic money market rates other than the prime rate and federal funds rates; foreign money market rates; and other base rates not included in the foregoing classifications.

6. Overnight loans mature on the business day after they are made.

7. Demand loans have no stated date of maturity.

8. Nominal (not compounded) annual interest rates are calculated from the stated rate and other terms of the loans and weighted by loan size.

9. The prime rate reported by each bank is weighted by the volume of loans extended and then averaged.

10. The proportion of loans made at rates below the prime may vary substantially from the proportion of such loans outstanding in banks' portfolios.


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