The prime rate fell to 7.50% by December 2024, and if your credit line prices off prime, every $50,000 drawn costs $500 less per year than it did in September — here is how and when the change lands.
Isabel Duarte
A $52,000 salary is not the cost of a $52,000 employee: employer payroll taxes alone add 7.65%, and the fully loaded total typically lands between 1.25 and 1.4 times base pay, per BLS employer-cost data.
Editorial Staff
Banks post the prime rate, the Fed publishes it, and your note decides when it lands. The spread and the reset date do more work than the headline number.
The federal guarantee behind an SBA 7(a) loan protects the lender's exposure, not the borrower's balance — here is what it does and doesn't change.
The Federal Reserve left its benchmark rate unchanged on July 29, keeping SBA 7(a) borrowing pinned to a 6.75% prime rate and leaving open the chance the next move is up, not down.
SBA 7(a) variable-rate loans are capped at the prime rate plus a size-based spread, and a 2026 rule change gave lenders new base rates to peg them to — here's how to read your own note.
The Fed held rates on July 29, 2026, keeping the prime rate that prices many small-business loans at 6.75% — here is how that number actually reaches a line of credit or an SBA 7(a) loan.
Tanya BrooksThe Fed left its target range unchanged on a 9-3 vote, keeping the prime rate that indexes most small-business credit lines flat for now.
Michael Hayes