424B2

The information in this preliminary pricing supplement is not complete and may be changed. This preliminary pricing supplement and the accompanying prospectus supplement and prospectus are not offers to sell these securities and are not soliciting an offer to buy these securities in any jurisdiction where the offer or sale is not permitted.

Subject to completion

Preliminary Pricing Supplement dated August 29, 2016

Filed under Rule 424(b)(2), Registration Statement No. 333-205280

Preliminary Pricing Supplement No. 24 - Dated Monday, August 29, 2016 (to: Prospectus dated June 26, 2015 and Prospectus Supplement Dated: September 8, 2015)

 

CUSIP

Number

   Principal

Amount

   Selling
Price
  Gross
Concession
  Net
Proceeds
   Coupon
Type
   Coupon
Rate
  Coupon
Frequency
   Day
Count
Basis
   Maturity
Date
   1st
Coupon
Date
   1st
Coupon
Amount
   Survivor’s
Option
   FDIC
Guaranteed
   Product
Ranking

25472CBB4

   $                100.00%   1.450%   $            Fixed    2.850%   Semi-Annual    30/360    09/15/2023    3/15/2017    $14.73    Yes    No    Senior Unsecured

Notes

                                      

 

Redemption Information: Callable in whole or in part, at any time on or after 6/15/2023.

 

Optional Redemption: Discover Financial Services may, at its option, at any time on or after 06/15/2023, redeem these Discover Financial Services InterNotes in whole or in part on no less than 10 nor more than 30 days’ prior notice delivered to the holders of these Discover Financial Services InterNotes. These Discover Financial Services InterNotes will be redeemable at a redemption price equal to 100% of the principal amount of the notes to be redeemed, plus accrued and unpaid interest. If fewer than all of these Discover Financial Services InterNotes are to be redeemed, the Trustee will select the Notes for redemption on a pro rata basis, by lot or by such other method in accordance with the DTC’s procedures. These Discover Financial Services InterNotes will be redeemed in denominations of $1,000 and integral multiples of $1,000 in excess thereof. If these Discover Financial Services InterNotes are to be redeemed in part only, the notice of redemption will state the portion to be redeemed. Unless Discover Financial Services defaults in payment of the redemption price, on and after the redemption date, interest will cease to accrue on these Discover Financial Services InterNotes or the portions of these Discover Financial Services InterNotes called for redemption.

 

    
LOGO      Trade Date: Tuesday, September 6, 2016 @ 12:00 PM ET   

Discover Financial Services

Discover Financial Services InterNotes

 

Preliminary Pricing Supplement No. 24 -

Dated Monday, August 29, 2016

(to: Prospectus dated June 26, 2015 and Prospectus Supplement Dated: September 8, 2015)

    

Settlement Date: Friday, September 9, 2016

Minimum Denomination/Increments: $1,000.00/$1,000.00

Initial trades settle flat and clear SDFS: DTC Book Entry only

  
       
       
    

Lead Manager: Incapital LLC

 

  
    

Agents: BofA Merrill Lynch, Citigroup , Morgan Stanley , RBC Capital Markets, Wells Fargo Advisors, LLC

 

  
     InterNotes® is a registered trademark of Incapital Holdings LLC. All Rights Reserved.