The article examines how changes in interest rates affect borrowing and saving rates in Albania, North Macedonia, and Serbia. In Albania, interest rate changes are quickly passed on to bank rates, but this process weakened during the economic crisis. North Macedonia sees changes in the central bank rate reflected in bank lending rates, but not borrowing rates. Serbia shows a complete pass-through of interest rate changes to retail rates, although the adjustment is slow. Overall, Albania and Serbia have effective interest rate transmission channels, while North Macedonia's channel is moderately effective.