For decades, South Africans have borrowed money at prime, Prime minus 1% or prime plus 2%. Many believe it is the interest rate determined by the Reserve Bank. It has traditionally been set 3.5 percentage points above the Reserve Bank’s repo rate, with individual borrowers then receiving discounts or premiums depending on their risk profile. Instead of being quoted prime -0.5%, a borrower may simply be quoted: repo rate +3.0%. For the first time, borrowers will immediately see the gap between the Reserve Bank’s policy rate and the rate they are paying their bank.