Charles Schwab prices $1 billion senior notes offering at 4.603% fixed, then floating at SOFR+0.622%

Filed June 26, 2026 · ~2 min read

Key Changes

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  Schwab is issuing $1 billion of senior unsecured notes due 2029, priced at par. The notes pay 4.603% fixed until July 2028, then switch to floating rate at SOFR plus 0.622% until maturity. Net proceeds of approximately $995.5 million will be used for general corporate purposes.

  The Offering verify on EDGAR →
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  The notes are structurally subordinated to all debt and liabilities of Schwab's subsidiaries, meaning subsidiary creditors (including trade creditors) must be paid in full before noteholders have any claim to subsidiary assets.

  Risk Factors verify on EDGAR →
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  Noteholders have limited acceleration rights compared to Schwab's pre-2023 senior debt: they can only accelerate for payment defaults (with a 30-day cure period) or bankruptcy, not for covenant breaches. The indenture contains no financial covenants and does not restrict Schwab from incurring additional debt or granting security interests.

  Risk Factors verify on EDGAR →