BofA Finance LLC filed a 424B2 pricing supplement on July 30, 2026, disclosing the terms of $665,000 in Digital Return Notes due February 3, 2028, fully and unconditionally guaranteed by Bank of America Corporation.

Key Highlights

  • Total offering size: $665,000 in Digital Return Notes, priced at $1,000.00 per note with an Underwriting discount of $15.00 per note.
  • Digital payment: $1,158.50 per $1,000.00 principal if neither underlying declines more than 20% from its starting value, representing a stated return of 15.85%.
  • Starting values: Russell 2000 Index (RTY) at 2,946.101 and S&P 500 Index (SPX) at 7,437.63 as of the pricing date.
  • Threshold values: RTY at 2,356.881 (80.00% of starting value) and SPX at 5,950.10 (80.00% of starting value).
  • Initial estimated value: $975.90 per $1,000.00 in principal amount as of the pricing date, which the filing states is less than the public offering price.
  • Maturity date: February 3, 2028, with a valuation date of January 31, 2028 and an Issue Date of August 4, 2026.
  • Principal at risk: If either underlying falls below its threshold value, investors face 1:1 downside exposure to the least performing underlying, with up to 100% of principal at risk.

BofA Finance Digital Return Notes: Structure, Terms, and Principal Risk

According to the pricing supplement, BofA Finance LLC is the issuer of these notes and Bank of America Corporation (NYSE: BAC) serves as the full and unconditional guarantor. The notes carry CUSIP number 09712CNM1, will not be listed on any securities exchange, and make no periodic interest payments. BofA Securities, Inc., an affiliate of BofA Finance, acts as both the calculation agent and selling agent. The filing also discloses that an affiliate of BofA Finance may pay a referral fee of up to $6.00 per $1,000.00 in principal amount to other registered broker-dealers involved in the distribution.

The payout at maturity depends entirely on the performance of both the Russell 2000 Index and the S&P 500 Index over the approximately 18-month term. The filing states that if the ending value of each underlying is greater than or equal to 80% of its respective starting value on the January 31, 2028 valuation date, holders receive the digital payment of $1,158.50 per $1,000.00 in principal. However, if either underlying's ending value falls below its threshold value, the Redemption amount is determined by the performance of the least performing underlying, and the filing notes that "the Redemption Amount will be less than 80.00% of the principal amount and you could lose up to 100.00% of your Investment in the Notes." Preferred depositary shares of Bank of America Corporation trading under the ticker BAC are a separate security and are not referenced in connection with this notes offering.

The filing explains that the initial estimated value of $975.90 per $1,000.00 is below the $1,000.00 public offering price because BAC's internal funding rate is typically lower than the rate it would pay on conventional Debt , and because the underwriting discount, referral fee, and hedging-related charges further reduce the economic terms to purchasers. The filing directs potential purchasers to the "Risk Factors" section beginning on page PS-6 of the pricing supplement for additional detail. All payments remain subject to the Credit risk of both BofA Finance as issuer and Bank of America Corporation as guarantor.

What Was Disclosed

The 424B2 filing sets out the full pricing terms, payout structure, starting and threshold index values, estimated note value, fee schedule, and principal risk disclosures for BofA Finance's $665,000 Digital Return Notes due February 3, 2028. Verified against source; unverifiable items removed.