1. Wells Fargo reduces its prime rate to 7.25% from 7.50%. 2. Changes effective September 18, 2025, may boost borrowing. 3. Lower prime rate can improve consumer lending dynamics. 4. Increased competitiveness for loans and credit products expected. 5. Impact on broader financial markets may influence WFC's stock.
A lower prime rate generally stimulates borrowing and investment, enhancing bank profitability over time. Historical trends have shown that rate cuts lead to a boost in consumer loans, positively impacting stock valuations.
Changes to prime rates are critical for banks like WFC, as they directly influence lending capacity and profitability. Given WFC's significant market presence, even modest rate adjustments can have substantial effects.
The immediate effect of the prime rate decrease can influence consumer and business borrowing positively. Prior examples show rapid stock price reactions following changes in lending rates.
Wells Fargo Bank, N.A., said today it is decreasing its prime rate to 7.25 percent from 7.50 percent, effective tomorrow, Sept. 18, 2025.
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Facade of a Wells Fargo bank branch in Manhattan (Photo: Wells Fargo)
About Wells Fargo
Wells Fargo & Company (NYSE:WFC) is a leading financial services company that has approximately $2.0 trillion in assets. We provide a diversified set of banking, investment and mortgage products and services, as well as consumer and commercial finance, through our four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo ranked No. 33 on Fortune's 2025 rankings of America's largest corporations. News, insights, and perspectives from Wells Fargo are also available at Wells Fargo Stories.
Additional information may be found at www.wellsfargo.com
LinkedIn: https://www.linkedin.com/company/wellsfargo
News Release Category: WF-CFH
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Media
Beth Richek, 980-308-1568
beth.richek@wellsfargo.com
Investor Relations
John Campbell, 415-396-0523
john.m.campbell@wellsfargo.com