Canadian Prime Rate Today
The current prime rate set by Canada's major banks, what it means, and where it's been.
The benchmark rate that most variable-rate mortgages, lines of credit, and HELOCs are priced against in Canada.
What is the prime rate?
The Canadian prime rate is a benchmark interest rate set independently by each major Canadian bank, but in practice all the big banks move it together within hours of any Bank of Canada policy decision. It's the floor on which most adjustable-rate consumer borrowing is priced — a variable-rate mortgage at "Prime − 0.80%" moves up and down with whatever prime is doing.
By long-standing convention, prime sits at the Bank of Canada's overnight target rate plus 2.20%. When BoC cuts the overnight rate by a quarter point, every major bank cuts prime by the same quarter point within a day or two. The 2.20% spread has been remarkably stable since 2015.
Critically, prime is not the same as a mortgage rate. A 5-year variable mortgage at Prime − 1.00% is the bank lending to you at 1% below their published prime. The math compounds slightly differently than the math on a fixed-rate mortgage, which is one of the reasons fixed and variable rates can't be directly compared by simple subtraction.
What it means for your mortgage
If you have a variable-rate mortgage: Your rate is expressed as Prime ± a number. When prime moves, your interest rate moves with it. Whether your monthly payment also moves depends on your lender — some adjust the payment, others keep the payment fixed and shift the principal/interest split.
If you're considering a variable-rate mortgage: The prime rate is the lever that determines your rate trajectory over your term. Pay attention to what economists are forecasting for prime over the next 1-3 years, not just today's number.
If you have a HELOC or personal line of credit: Almost all of these are priced at Prime + a number. Same dynamic as variable mortgages — when prime moves, your borrowing cost moves.
If you have a fixed-rate mortgage: Prime doesn't directly affect your current rate (that's locked for your term), but it does affect renewal pricing. Bond yields drive fixed rates more than prime does, but the two correlate.
Recent observations
Below are the historical readings for the Canadian prime rate. Note that prime moves only when the major banks announce changes — typically right after a Bank of Canada policy decision. Between announcements, prime is flat.
| Date | Prime Rate | Change |
|---|---|---|
| May 21, 2026 | 4.45% | No change |
| May 22, 2026 | 4.45% | No change |
| May 25, 2026 | 4.45% | No change |
| May 26, 2026 | 4.45% | No change |
| May 27, 2026 | 4.45% | No change |
| May 28, 2026 | 4.45% | No change |
| May 29, 2026 | 4.45% | No change |
| June 1, 2026 | 4.45% | No change |
| June 2, 2026 | 4.45% | No change |
| June 3, 2026 | 4.45% | No change |
| June 4, 2026 | 4.45% | No change |
| June 5, 2026 | 4.45% | No change |
| June 8, 2026 | 4.45% | No change |
| June 9, 2026 | 4.45% | No change |
| June 10, 2026 | 4.45% | No change |
| June 11, 2026 | 4.45% | No change |
| June 12, 2026 | 4.45% | No change |
| June 15, 2026 | 4.45% | No change |
| June 16, 2026 | 4.45% | No change |
| June 17, 2026 | 4.45% | No change |
| June 18, 2026 | 4.45% | No change |
| June 19, 2026 | 4.45% | No change |
| June 22, 2026 | 4.45% | No change |
| June 23, 2026 | 4.45% | — |