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miiiiim
CORRECTED COfY

FEDERAL
RESERVE
statistical release
o,:j. ,

For immediate release
June 23, 1975

/ G..10

INTEREST RATES CHARGED ON SELECTED TYPES OF BANK LOANS
Interest rate (per cent per annum)
May • •
April
January
1975
1975*
1972

•Type of Loan

Small short-term noninstalment
loans to businesses 1/

7.31

9.56

9.56

Farm production loans (one year of
less maturity)
Feeder cattle operations
Other, farm production
operating expenses

7.55

9.45

9.35

7.63

9.53

9.44 .

10.26
10.94
12.57

11.44
11.78
13.22

12.74
17.11

13.55
17.17

n.a.
5.25

8.26

:

•
'
I
;
Consumer instalment credit for:
New automobiles (36 months)
'.
Mobile homes (84 months)
Other consumer goods (24 months)
Other personal expenditures .
(12 months)
Credit card plans
Business loans--prime rate
To small businesses
To large businesses
Tj

7.50

11.39
"11.57
13.11
13,41 r;
17.21 '

8.1-7
•Ji°

Loans of $10,000 to $25,000 maturing in one year or less. . ^

the Federal Reserve System and the Federal Deposit Insurance Corporation.
In the'April survey, 313 banks reported their rates on small -short-term •




s s s s s r s s . •

(over)

iates represent simple unweighted averages of the "most common"
.effective annual irate on loins made during the first full calendar
week of the month i ^ e a c h loan category. The "most coc^ion" rate is
defined as the rate charged on the largest dollar volume of loans
in the particular category during the week covered in the survey. „
Consumer instalment loan rates are reported on a Truth in Lending
basis as specified in the Federal Reserve Board's Regulation Z.
The prime rate on loans to small businesses, as provided for in
the dual prime rate structure established by the.Committee on Interest
and Dividends in the interest rate criteria for "commercial banks,
issued April 16, 1973, is the best rate charged by a bank to its most
credit-worthy local customer§. For the Committee's purposes, a small
business is defined as any domestic commercial, industrial, or agricultural borrower whose total borrowings outstandings at any one time
over the preceding 12 months' -(exclusive of long-term real estate
mortgage debt) did not exceed' $350,000 and whose assets do not exceed
$1 million. The figure shown is the simple unweighted average of the ^
rates in effect on the last business day of the first full calendar
week of the month; the range, of variation of these rates is considerable.
The large business prime rate is the rate most commonly quoted by>large
banks on that date. Since.the prime rate information! has hot been converted to an effective rate basis, the rates shown, are not directly
comparable to the other rates shown on this release, i