Major U.S. banks - JPMorgan Chase, Citigroup, Wells Fargo, and Bank of America - cut their prime lending rates from 7.50% to 7.25% on Wednesday, following the Federal Reserve’s first interest rate reduction of the year, a 25-bps reduction, Reuters reported. This move offers relief to consumers facing high borrowing costs. The prime rate, described as “the interest rate that commercial banks charge their most creditworthy customers,” typically large corporations, acts as a benchmark for various consumer lending products, including mortgages, personal loans, small business financing, and credit cards.