Robert McLister·General·September 26, 2009Prime-BA Spread The "prime-BA spread" is simply prime rate minus the 30-day bankers’ acceptance yield. In raw terms, it represents gross lender margins on variable-rate mortgages. From this spread, lenders have to pay liquidity/risk premiums (when raising lending capital in the credit markets), customer acquisition costs, overhead, salaries, etc. The remainder is profit. Like news like this?Join our CMT Updates list and get the latest news as it happens. Unsubscribe anytime. SUBSCRIBE! Thank you for subscribing. One more step: Please confirm your subscription via the email sent to you.