By Wendy Van Sickle
Columbus, Ohio, Jan. 31 – BofA Finance, LLC priced $3 million of issuer callable capped notes due Jan. 30, 2035 linked to the difference between the 30-year U.S. dollar ICE swap rate and the two-year U.S. dollar ICE swap rate, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Bank of America Corp.
The interest rate will be 5% initially. Beginning Jan. 30, 2021, the interest rate will be 8 times the spread of the 30-year swap rate over the two-year swap rate, subject to a minimum rate of zero. Interest will be payable quarterly.
Beginning Jan. 30, 2021, the notes will be callable in whole at par on any quarterly interest payment date.
The payout at maturity will be par.
BofA Merrill Lynch is the underwriter.
| Issuer: | BofA Finance, LLC
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| Guarantor: | Bank of America Corp.
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| Issue: | Issuer callable capped notes
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| Underlying rates: | 30-year and two-year U.S. dollar ICE swap rates
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| Amount: | $3 million
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| Maturity: | Jan. 30, 2035
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| Coupon: | 5% initially; beginning Jan. 30, 2021, 8 times the spread of the 30-year swap rate over the two-year swap rate, subject to a 0% floor; payable quarterly
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| Price: | Par
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| Payout at maturity: | Par
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| Call option: | At par on any quarterly interest payment date beginning Jan. 30, 2021
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| Pricing date: | Jan. 28
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| Settlement date: | Jan. 31
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| Agent: | BofA Merrill Lynch
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| Fees: | 3.75%
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| Cusip: | 09709THJ3
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