Bank of America Redeems $3B in Senior Notes

The redemption of the 3.559% fixed/floating rate notes due in 2027 is part of the bank's ongoing liability management strategy.

Apr. 9, 2026 at 8:08am

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A cinematic close-up of gleaming, intricate banking machinery and equipment, conveying a sense of institutional financial security and stability.Bank of America's strategic redemption of $3 billion in senior notes reflects the institution's financial strength and flexibility to optimize its capital structure.Charlotte Today

Bank of America Corporation announced that it will redeem $3 billion in 3.559% fixed/floating rate senior notes due in April 2027. The redemption is part of the bank's ongoing efforts to manage its liabilities and optimize its capital structure.

Why it matters

The redemption of these senior notes reflects Bank of America's financial strength and flexibility to actively manage its balance sheet. It also signals the bank's confidence in its ability to access capital markets and fund its operations at favorable rates.

The details

The $3 billion in 3.559% fixed/floating rate senior notes were originally issued by Bank of America in April 2022. The bank will redeem the full $3 billion principal amount of the notes on the redemption date of May 1, 2026.

  • Bank of America issued the $3 billion in senior notes in April 2022.
  • The notes will be redeemed on May 1, 2026.

The players

Bank of America Corporation

One of the largest banking and financial services companies in the United States, offering a wide range of banking, investing, asset management, and other financial and risk management products and services.

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What’s next

Bank of America will continue to evaluate its capital structure and liability management options to optimize its balance sheet and funding costs.

The takeaway

The redemption of these senior notes demonstrates Bank of America's financial strength and flexibility to actively manage its liabilities, which can help the bank maintain a competitive advantage in the banking industry.