BANK OF AMERICA CORP DE

(1)Estimated at the segment level only.

(2)In segments and businesses where the total of liabilities and equity exceeds assets, we allocate assets from All Other to match the segments’ and businesses’ liabilities and allocated shareholders’ equity. As a result, total earning assets and total assets of the businesses may not equal total Consumer Banking.

See page 10 for footnotes.

Consumer Banking, comprised of Deposits and Consumer Lending, offers a diversified range of credit, banking and investment products and services to consumers and small businesses. For more information about Consumer Banking, see Business Segment Operations in the MD&A of the Corporation’s 2023 Annual Report on Form 10-K.

Consumer Banking Results

Net income for Consumer Banking decreased $177 million to $2.7 billiondue to higher noninterest expense and lower revenue, partially offset by lower provision for credit losses. Net interest income decreased$113 million to $8.3 billion primarily driven by lower deposit balances, partially offset by higher loan balances. Noninterest income increased $59 million to $2.1 billion, primarily due to higher card income.

The provision for credit losses decreased $95 million to $1.3 billion primarily driven by overall improvement in consumer activities. Noninterest expense increased$278 million to $5.5 billion, primarily driven by investments in the business, including people and technology.

The return on average allocated capital was 25 percent, down from 27 percent, due to an increase in allocated capital and lower net income. For information on capital allocated to the business segments, see Business Segment Operations on page 10.

Net income for Consumer Banking decreased $887 million to$7.9 billion primarily due to lower revenue and higher noninterest expense. Net interest income decreased $828 million to $24.6 billion primarily due to the same factors as described in the three-month discussion. Noninterest income decreased $84 million to $6.2 billion, primarily due to lower other income driven by the allocation of asset and liability management (ALM) results, partially offset by higher card income and service charges.

The provision for credit losses decreased $20 million to $3.7 billion, relatively unchanged from the same period a year ago. Noninterest expense increased $291 million to $16.5 billion, primarily due to the same factor as described in the three-month discussion.

The return on average allocated capital was 25 percent, down from 28 percent, primarily due to the same factors as described in the three-month discussion.

Deposits

Net income for Deposits decreased $315 million to$1.9 billion primarily due to lower revenue and higher noninterest expense. Net interest income decreased$300 million to$5.3 billion primarily driven by lower deposit balances. Noninterest income was$711 million, relatively unchanged from the same period a year ago.

11 Bank of America

Noninterest expense increased$193 million to $3.4 billion, primarily driven by investments in the business, including people and technology.

Average deposits decreased $41.4 billion to $933.2 billion primarily due to net outflows of $48.6 billion in money market savings and $19.8 billion in checking, partially offset by growth in time deposits of $35.6 billion.

Net incomefor Deposits decreased$1.0 billion to $5.6 billion primarily due to lower revenue. Net interest income decreased$1.4 billion to$15.8 billion primarily due to the same factor as described in the three-month discussion. Noninterest income decreased$107 million to$2.1 billion primarily driven by the allocation of ALM results, partially offset by higher service charges.

The provision for credit losses decreased $207 million to $207 million primarily driven by lower overdraft losses from fraud activity. Noninterest expense increased $114 million to $10.2 billion primarily due to the same factor as described in the three-month discussion.

Average deposits decreased$57.2 billion to$941.8 billion primarily due to net outflows of $61.0 billion in money market savings and $26.0 billion in checking, partially offset by growth in time deposits of $39.7 billion.

The table below provides key performance indicators for Deposits. Management uses these metrics, and we believe they are useful to investors because they provide additional information to evaluate our deposit profitability and digital/mobile trends.

(1)Includes deposits held in Consumer Lending.

(2)Includes client brokerage assets, deposit sweep balances, Bank of America, N.A. brokered CDs and AUM in Consumer Banking.

(3)Represents mobile and/or online active users over the past 90 days.

(4)Represents mobile active users over the past 90 days.

Consumer investment assets increased $109.1 billion from September 30, 2023 to $496.6 billion at September 30, 2024 driven by market performance and positive net client flows. Active mobile banking users increased approximately two million, reflecting continuing changes in our clients’ banking preferences. Since September 30, 2023, we have had a net decrease of 121 financial centers and 353 ATMs as we continue to optimize our consumer banking network.

Consumer Lending

Net income for Consumer Lending increased$137 million to$817 million primarily due to higher revenue, partially offset by higher noninterest expense. Net interest income increased $187 million to $3.0 billion primarily due to higher loan balances. Noninterest income increased$58 million to $1.4 billion, primarily driven by higher card income.

The provision for credit losses decreased$24 million to $1.2 billion, relatively unchanged from the same period a year ago. Noninterest expense increased$85 millionto$2.1 billion, primarily driven by investments in the business, including people and technology.

Average loans increased$2.8 billion to$309.4 billion driven by increases in credit card, small business and consumer vehicle loans.

Net income for Consumer Lending increased $143 million to $2.4 billion driven by higher revenue, partially offset by higher provision for credit losses and higher noninterest expense. Net interest income increased$532 million to $8.8 billion primarily due to the same factor as described in the three-month discussion. Noninterest income increased $23 million to $4.1 billion, relatively unchanged from the same period a year ago.

The provision for credit losses increased$187 million to$3.5 billion primarily driven by credit card loans. Noninterest expense increased$177 million to$6.3 billion, primarily due to the same factor as described in the three-month discussion.

Average loans increased$5.7 billion to$308.7 billion primarily driven by the same factors as described in the three-month discussion.

The following table provides key performance indicators for Consumer Lending. Management uses these metrics, and we believe they are useful to investors because they provide additional information about loan growth and profitability.

(1)Includes GWIM's credit card portfolio.

(2)Calculated as the effective annual percentage rate divided by average loans.

(3)Calculated as the difference between total revenue, net of interest expense, and net credit losses divided by average loans.

During the three months ended September 30, 2024, the total risk-adjusted margin decreased 48 bps primarily driven by higher net credit losses, partially offset by higher interest margin and higher net fee income. During the nine months ended September 30, 2024, the total risk-adjusted margin decreased 113 bps primarily driven by higher net credit losses and lower

net fee income, partially offset by higher net interest margin. During the three and nine months ended September 30, 2024, total credit card purchase volumes increased $881 million and $2.5 billion, and debit card purchase volumes increased $5.8 billion and $21.2 billion, reflecting higher levels of consumer spending.

(1)The loan production amounts represent the unpaid principal balance of loans and, in the case of home equity, the principal amount of the total line of credit.

(2)In addition to loan production in Consumer Banking, there is also first mortgage and home equity loan production in GWIM.

First mortgage loan originations for Consumer Banking increased$137 million during thethree months ended September 30, 2024 primarily driven by increased refinancing activity due to lower interest rates. First mortgage loan originations for the total Corporation decreased $248 million during the three months ended September 30, 2024 primarily driven by lower demand in GWIM, partially offset by higher demand in Consumer Banking. During the nine months ended September 30, 2024, first mortgage loan originations for Consumer Bankingand the total Corporation decreased$324 million and$954 million primarily driven by lower demand.

Home equity production in Consumer Bankingand the total Corporation decreased $138 million and $132 million during the three months ended September 30, 2024 primarily driven by lower demand. During the nine months ended September 30, 2024, home equity production in Consumer Banking and the total Corporation decreased $865 million and $986 million primarily driven by lower demand.

13 Bank of America