Capital One Announces Preliminary Stress Capital Buffer Requirement

Rhea-AI Summary

Capital One Financial Corporation (NYSE: COF) has announced its preliminary Stress Capital Buffer Requirement (SCB) of 4.5 percent, which will take effect on October 1, 2025. This represents a decrease from the current SCB of 5.5 percent, which remains in effect through Q3 2025.

The Federal Reserve issued a notice in April 2025 proposing to amend the SCB calculation method by averaging stress test results over two consecutive years. However, the preliminary SCB announced was calculated under the current framework, not reflecting the proposed averaging method as the proposal has not been finalized.

Positive

• Reduction in Stress Capital Buffer Requirement from 5.5% to 4.5%

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• None.

MCLEAN, Va., July 1, 2025 /PRNewswire/ -- Capital One Financial Corporation (NYSE: COF) today announced the company's preliminary Stress Capital Buffer Requirement ("SCB"), as calculated by the Board of Governors of the Federal Reserve System (the "Federal Reserve") 2025 Comprehensive Capital Analysis and Review process ("CCAR"), is 4.5 percent, effective October 1, 2025. Capital One's previously disclosed SCB of 5.5 percent, as calculated by the Federal Reserve 2024 CCAR process, will remain in effect through the end of the third quarter of 2025.

In April 2025, the Federal Reserve issued a notice of proposed rulemaking to amend the calculation of the SCB.  The proposal would average stress test results over two consecutive years for purposes of determining the SCB requirement.  The proposal has not yet been finalized, and our preliminary SCB disclosed above has been calculated under the current framework and does not reflect the proposed averaging.

Forward-Looking Statements
Certain statements in this release may constitute forward-looking statements, which involve a number of risks and uncertainties. Forward-looking statements often use words such as "will," "anticipate," "target," "expect," "think," "estimate," "intend," "plan," "goal," "believe," "forecast," "outlook" or other words of similar meaning. Any forward-looking statements made by Capital One or on its behalf speak only as of the date they are made or as of the date indicated, and Capital One does not undertake any obligation to update forward-looking statements as a result of new information, future events or otherwise. Capital One cautions readers that any forward-looking information is not a guarantee of future performance and that actual results could differ materially from those contained in the forward-looking information due to a number of factors. For additional information on factors that could materially influence forward-looking statements included in this press release, see the risk factors set forth under "Part I—Item 1A. Risk Factors" in the Annual Report on Form 10-K for the year ended December 31, 2024 filed with the Securities and Exchange Commission (the "SEC") and Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC.

About Capital One
Capital One Financial Corporation (www.capitalone.com) is a financial holding company which, along with its subsidiaries, had $367.5 billion in deposits and $493.6 billion in total assets as of March 31, 2025. Headquartered in McLean, Virginia, Capital One offers a broad spectrum of financial products and services to consumers, small businesses and commercial clients through a variety of channels. Capital One, N.A. has branches and Cafés located primarily in New York, Louisiana, Texas, Maryland, Virginia and the District of Columbia. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.

 

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SOURCE Capital One Financial Corporation

FAQ

What is Capital One's (COF) new Stress Capital Buffer Requirement?

Capital One's preliminary Stress Capital Buffer Requirement is 4.5 percent, effective October 1, 2025.

When will Capital One's new SCB requirement take effect?

The new 4.5% Stress Capital Buffer Requirement will take effect on October 1, 2025.

What is Capital One's current SCB requirement?

Capital One's current SCB requirement is 5.5 percent, which remains in effect through the end of the third quarter of 2025.

What changes has the Federal Reserve proposed for SCB calculations?

In April 2025, the Federal Reserve proposed to amend the SCB calculation by averaging stress test results over two consecutive years, though this proposal has not yet been finalized.