National Rural (NASDAQ: NRUC) issues $500K securities at 5.75%

Rhea-AI Filing Summary

National Rural Utilities Cooperative Finance Corporation priced $500,000 of Member Capital Securities. The securities were issued at 100% of principal with an interest rate of 5.75% per annum, original issue date May 7, 2026 and maturity on May 7, 2056. The securities rank subordinate to all existing and future senior indebtedness and contain an optional redemption feature exercisable by National Rural after May 7, 2031. Transfers are restricted to other National Rural voting members, and National Rural may extend the interest payment period for up to 10 consecutive semi-annual interest payment periods.

Key Figures

Principal Amount: $500,000 Interest Rate: 5.75% per annum Original Issue Date: May 7, 2026 +4 more

7 metrics

Principal Amount $500,000 Principal amount of Member Capital Securities

Interest Rate 5.75% per annum Stated interest rate for the securities

Original Issue Date May 7, 2026 Original issue date stated in pricing supplement

Maturity Date May 7, 2056 Stated maturity date for the securities

Issue Price 100% of Principal Amount Securities issued at par according to pricing supplement

Optional Redemption Callable after May 7, 2031 Redemption option exercisable by National Rural

First Coupon Date October 1, 2026 First scheduled interest payment date

Key Terms

Member Capital Securities, Subordinate, Optional Redemption, Extend Interest Payment Period

4 terms

Member Capital Securities financial

"Principal Amount | $500,000.00 Issue Price | 100% of Principal Amount"

Subordinate regulatory

"Product Ranking | Subordinate to all existing and future senior indebtedness"

Subordinate describes a claim, debt, or security that has lower priority for repayment than other obligations if a borrower defaults or liquidates. Think of it like being in line behind others at a checkout: holders of subordinate claims typically face higher risk of losing money but often receive higher yields to compensate, so investors weigh potential returns against greater chance of loss and lower recovery in default.

Optional Redemption financial

"Optional Redemption | Redeemable at the option of National Rural after May 7, 2031"

Optional redemption is the issuer’s right to pay back a bond or preferred security before its scheduled maturity date. Investors care because this can cut short expected interest or dividend payments and force them to reinvest the returned principal, often at lower rates; think of it like a homeowner paying off a loan early — the lender gets cash back sooner but loses the steady future income originally expected. Issuers may offer a small premium to compensate investors, which affects the security’s price and yield.

Extend Interest Payment Period financial

"Option to Extend Interest Payment Period | National Rural will have the right to extend"

Offering Details

primary

Offering

Offering Type primary

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Rule 424 (b)(3)

Registration No.: 333-275151

NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORPORATION ("National Rural")

Member Capital Securities

Trade Date			May 4, 2026
Pricing Supplement No.			738
Pricing Supplement Date			May 4, 2026
Prospectus Supplement Date			October 27, 2023
Base Prospectus Date			October 24, 2023
Principal Amount			$500,000.00
Issue Price			100% of Principal Amount
Original Issue Date			May 7, 2026
Maturity Date			May 7, 2056
Interest Rate			5.75% per annum
Regular Record Dates			Each March 15 and September 15
Interest Payment Dates			Each April 1 and October 1
First Coupon Date			October 1, 2026
Product Ranking			Subordinate to all existing and future senior indebtedness of National Rural and all existing subordinated indebtedness of National Rural that is held by or transferable by non-members of National Rural.
Optional Redemption			Redeemable at the option of National Rural, in whole or in part, at any time after May 7, 2031 at a redemption price equal to 100% of the principal amount to be redeemed together with accrued and unpaid interest, if any, to the redemption date.
Option to Extend Interest Payment Period			National Rural will have the right to extend the interest payment period to a period not exceeding 10 consecutive semi-annual interest payment periods. At the end of a deferral period, National Rural must pay all interest then accrued and unpaid together with interest thereon at the same rate as specified for the securities.
Restrictions on Transfer			The securities can only be sold or transferred to other National Rural voting members upon the written consent of National Rural.
Agents Commission			None
Form of Note: (Book-Entry or Certificated)			Certificated
Denominations/Multiples			$25,000/$1,000
Listing			None
Member Capital Securities may be issued by the Company in an unlimited aggregate principal amount.

Validity of the Member Capital Securities

In the opinion of Hogan Lovells US LLP, as counsel to the Company, when the notes offered by this pricing supplement have been executed and issued by the Company and authenticated by the trustee pursuant to the indenture, and delivered against payment as contemplated herein, such notes will constitute valid and binding obligations of the Company, subject to the effect of (a) bankruptcy, insolvency, reorganization, receivership, moratorium and other laws affecting creditors' rights (including, without limitation, the effect of statutory and other law regarding fraudulent conveyances, fraudulent transfers and preferential transfers), and (b) the exercise of judicial discretion and the application of principles of equity, good faith, fair dealing, reasonableness, conscionability and materiality (regardless of whether the applicable agreements are considered in a proceeding in equity or at law).

This opinion is based as to matters of law solely on applicable provisions of the following, as currently in effect: (i) the District of Columbia General Cooperative Association Act of 2010 (the "Cooperative Association Act") and (ii) the laws of the State of New York (but not including any laws, statutes, ordinances, administrative decisions, rules or regulations of any political subdivision below the state level). In addition, this opinion is subject to customary assumptions about the trustee's authorization, execution and delivery of the indenture and its authentication of the notes and the validity, binding nature and enforceability of the indenture with respect to the trustee, all as stated in the letter of such counsel dated October 27, 2023, which has been filed as an exhibit to a Current Report on Form 8-K by the Company on October 27, 2023.

FAQ

What securities did NRUC offer in this pricing supplement?

The company offered Member Capital Securities with a principal amount of $500,000. The pricing supplement identifies the securities as issued at 100% of principal with stated terms in the prospectus supplement.

What is the interest rate and payment schedule for NRUC's securities?

The securities carry a stated interest rate of 5.75% per annum. Interest payments are scheduled each April 1 and October 1, with the first coupon date on October 1, 2026.

When do the Member Capital Securities mature and when can they be redeemed?

The securities mature on May 7, 2056. National Rural may redeem the securities, in whole or in part, at par any time after May 7, 2031, plus accrued and unpaid interest to the redemption date.

Are there any transfer restrictions on these securities?

Yes. The securities may only be sold or transferred to other National Rural voting members and require the written consent of National Rural for such transfers.

Can National Rural defer interest payments on these securities?

National Rural may extend the interest payment period for up to 10 consecutive semi-annual interest payment periods. At the end of a deferral period, all accrued unpaid interest must be paid together with interest thereon at the same rate.

How do these securities rank relative to other debt of National Rural?

The Member Capital Securities are expressly stated to be subordinate to all existing and future senior indebtedness and to existing subordinated indebtedness held by or transferable by non-members.