Deposit Rates

I know that the rates are very low right now with all banks. This is directly related to rates. While rates should increase for banks to pay more on deposits? His first or Libor it?

bank deposit rates are not tied to something. They are called "rate deal" which means they are what managers are saying. If management has many opportunities to make loans, they may decide to increase deposit rates to attract more money to lend on deposit. If borrowers are few and far between, and management can reduce the rates do not pay interest on deposits that are not ready. Please note that "premium" is itself a rate on managed lending side.

It is linked to the prime rate since banks will not pay a lot more on bank deposits they can obtain from the Federal Reserve Bank. In short, they will borrow when they get the reduced rate.