Bank of America announced that it will repay the entire $45 billion in TARP funds it received during last year's financial crisis.
The Charlotte, North Carolina-based banking giant is expected to sign the documents repaying its Troubled Asset Relief Program funds over the next few days.
The repayment, first reported by CNBC, will be made from "$26.2 billion in excess liquidity and $18.8 billion in proceeds from the sale of common equivalent securities," the bank said in a statement.
The deal was negotiated by BofA's Strategy Chief Greg Curl at the behest of CEO Ken Lewis, who was forced out by the board and is officially leaving the bank at the end of this year. Curl is among the internal candidates being considered to replace Lewis, and this move could help Curl's prospects.