CSC is a savings and loan holding company and is subject to examination, supervision, and regulation by the Federal Reserve. CSB, CSC’s primary depository institution subsidiary, is a Texas-chartered state savings bank and is a member of the Federal Reserve system. CSB is subject to examination, supervision, and regulation by the Federal Reserve, the TDSML, the CFPB, and the FDIC as its deposit insurer. CSC is required to serve as a source of strength for our banking subsidiaries.

CSB is subject to various requirements and restrictions under federal and state laws, including regulatory capital requirements and requirements that restrict and govern the terms of affiliate transactions, such as extensions of credit to, or asset purchases from CSC or its other subsidiaries by CSB. In addition, our banking subsidiaries are required to provide notice to, and in certain cases are required to obtain approval from, the Federal Reserve and the banking subsidiaries’ state regulators in order to declare

and pay dividends to CSC in excess of the amount of recent net income and retained earnings. The federal banking agencies have broad powers to enforce regulations, including the power to terminate deposit insurance, impose substantial fines and other civil and criminal penalties, and appoint a conservator or receiver. Under the prompt corrective action provisions of the Federal Deposit Insurance Act, CSB could be subject to restrictive actions if it were to fall within one of the lowest three of five capital categories. CSC and CSB are required to maintain minimum capital levels as specified in federal banking regulations. Failure to meet the minimum levels could result in certain mandatory, and possibly additional discretionary actions by the regulators that, if undertaken, could have a direct material effect on CSC and CSB. At December 31, 2025, both CSC and CSB met all of their respective capital requirements.


	Actual				Minimum to be Well Capitalized				Minimum Capital Requirement
December 31, 2025	Amount		Ratio		Amount		Ratio		Amount		Ratio (1)
CSC
Common Equity Tier 1 Risk-Based Capital	$	36,081	30.4	%	N/A				$	5,345	4.5	%
Tier 1 Risk-Based Capital	42,844		36.1	%	N/A				7,127		6.0	%
Total Risk-Based Capital	42,894		36.1	%	N/A				9,503		8.0	%
Tier 1 Leverage	42,844		9.3	%	N/A				18,499		4.0	%
Supplementary Leverage Ratio	42,844		9.2	%	N/A				13,974		3.0	%
CSB
Common Equity Tier 1 Risk-Based Capital	$	28,126	35.9	%	$	5,088	6.5	%	$	3,523	4.5	%
Tier 1 Risk-Based Capital	28,126		35.9	%	6,262		8.0	%	4,697		6.0	%
Total Risk-Based Capital	28,163		36.0	%	7,828		10.0	%	6,262		8.0	%
Tier 1 Leverage	28,126		11.1	%	12,641		5.0	%	10,113		4.0	%
Supplementary Leverage Ratio	28,126		11.0	%	N/A				7,649		3.0	%

December 31, 2024
CSC
Common Equity Tier 1 Risk-Based Capital	$	35,995	31.7	%	N/A				$	5,114	4.5	%
Tier 1 Risk-Based Capital	45,186		39.8	%	N/A				6,819		6.0	%
Total Risk-Based Capital	45,218		39.8	%	N/A				9,092		8.0	%
Tier 1 Leverage	45,186		9.9	%	N/A				18,325		4.0	%
Supplementary Leverage Ratio	45,186		9.8	%	N/A				13,836		3.0	%
CSB
Common Equity Tier 1 Risk-Based Capital	$	32,584	41.7	%	$	5,079	6.5	%	$	3,516	4.5	%
Tier 1 Risk-Based Capital	32,584		41.7	%	6,251		8.0	%	4,688		6.0	%
Total Risk-Based Capital	32,606		41.7	%	7,813		10.0	%	6,251		8.0	%
Tier 1 Leverage	32,584		11.6	%	14,035		5.0	%	11,228		4.0	%
Supplementary Leverage Ratio	32,584		11.5	%	N/A				8,479		3.0	%

(1) Under risk-based capital rules, CSC and CSB are also required to maintain additional capital buffers above the regulatory minimum risk-based capital ratios. As of December 31, 2025 and 2024, CSC was subject to a stress capital buffer of 2.5% and CSB was required to maintain a capital conservation buffer of 2.5%. CSC and CSB are also required to maintain a countercyclical capital buffer above the regulatory minimum risk-based capital ratios, which was zero for both periods presented. If a buffer falls below the minimum requirement, CSC and CSB would be subject to increasingly strict limits on capital distributions and discretionary bonus payments to executive officers. At December 31, 2025 and 2024, the minimum capital ratio requirements for both CSC and CSB, inclusive of their respective buffers, were 7.0%, 8.5%, and 10.5% for Common Equity Tier 1 Risk-Based Capital, Tier 1 Risk-Based Capital, and Total Risk-Based Capital, respectively.

Based on its regulatory capital ratios at December 31, 2025 and 2024, CSB is considered well capitalized (the highest category) under its respective regulatory capital rules. There are no conditions or events since December 31, 2025 that management believes have changed CSB’s capital category.

CSC’s other banking subsidiaries are CSPB and Trust Bank. CSPB is a Texas-chartered state savings bank that provides banking and custody services, and Trust Bank is a Nevada state-chartered savings bank that provides trust and custody services. At December 31, 2025 and 2024, the balance sheets of CSPB and Trust Bank consisted primarily of investment securities. At December 31, 2025 and 2024, CSPB held total assets of $27.0 billion and $26.5 billion, respectively, and Trust Bank held total

As a securities broker-dealer, CS&Co is subject to the SEC’s Uniform Net Capital Rule. CS&Co computes net capital under the alternative method permitted by the Uniform Net Capital Rule, which requires the maintenance of minimum net capital, as defined, of the greater of 2% of aggregate debit balances arising from client transactions or a minimum dollar requirement, which is based on the type of business conducted by the broker-dealer. Under the alternative method, a broker-dealer may not repay subordinated borrowings, pay cash dividends, or make any unsecured advances or loans if such payment would result in a net capital amount of less than 5% of aggregate debit balances or less than 120% of its minimum dollar requirement.

Pursuant to the SEC’s Customer Protection Rule and other applicable regulations, Schwab had cash and investments segregated for the exclusive benefit of clients at December 31, 2025. The SEC’s Customer Protection Rule requires broker-dealers to segregate client fully-paid securities and cash balances not collateralizing margin positions and not swept to money market funds or bank deposit accounts. Amounts included in cash and investments segregated and on deposit for regulatory purposes represent actual balances on deposit, whereas cash and investments required to be segregated and on deposit for regulatory purposes at December 31, 2025 for CS&Co totaled $46.4 billion. As of January 5, 2026, CS&Co had deposited $5.3 billion of cash into its segregated reserve accounts. Cash and investments required to be segregated and on deposit for regulatory purposes at December 31, 2024 for CS&Co totaled $38.2 billion. Cash and cash equivalents included in cash and investments segregated and on deposit for regulatory purposes are presented as part of Schwab’s cash balances in the consolidated statements of cash flows.