BofA Finance LLC outlined contingent coupon notes paying $18.00 per $1,000.00 when both linked indexes meet a 55.00% barrier. Investors face conditional income, early Redemption and principal risk because a least-performing index below 55.00% at Maturity can reduce redemption below 55.00% and produce losses of up to 100.00%.

Key Highlights

  • The proposed notes track the lower-performing Russell 2000 and S&P 500 indexes.
  • Investors may receive $18.00 per $1,000 when both underlyings clear the coupon barrier on an observation date.
  • BofA Finance can redeem all notes on a quarterly call payment date, with no further amounts payable afterward.

BofA Finance LLC outlined contingent income issuer callable Yield notes paying $18.00 per $1,000 when both linked indexes satisfy the required observation test.

The notes have minimum denominations of $1,000 and whole multiples of $1,000. The pricing date is October 16, 2026, and the Issue Date is October 21, 2026; the valuation date is October 16, 2031, with maturity on October 21, 2031. Each underlying has a coupon barrier and threshold value set at 55.00% of its starting value. A contingent coupon is payable on the applicable payment date when both observation values are at least their respective barriers, equal to 1.80% per quarter or 7.20% per annum. The Underwriting discount may reach $15.00 per $1,000, leaving proceeds to BofA Finance as low as $985.00 per $1,000 before expenses.

Maturity Payment Carries Principal Loss Risk

BofA Finance may redeem all, but not less than all, of the notes on any quarterly call payment date. No further amounts are payable after an optional early redemption. If the least performing underlying finishes below its 55.00% threshold at maturity, the redemption amount will be less than 55.00% of principal and investors could lose up to 100.00% of their investment. Payments depend on the creditworthiness of BofA Finance and BAC. The public offering price exceeds the initial estimated value because of funding, underwriting, referral and hedging-related charges described in the terms.