The rule in plain words
Loans and advances cannot be less than non-performing loans and advances.
EBA checks it for eight columns: residential immovable property, commercial immovable property, cash, deposits, [debt securities issued], movable property, equity and debt securities, rest, financial guarantees received, and credit derivatives. That makes eight checks. A failure names the one that failed.
How the Line4 Check report words itShowHide
The first of its checks, word for word as the report shows it when it fails. The others read the same, with their own column, row or sheet.
Residential immovable property: Loans and advances >= Of which: Non-performing
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Compare the values in your file. If the first is smaller than it may be, one of them is wrong: check both before you change either.
- 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 04It runs only when your filing indicators mark F 13.01 as reported.
- 05This is a warning. It does not stop the filing on its own, but your authority may ask you to explain it.
The cells it reads
Breakdown of collateral and guarantees by loans and advances other than held for trading (F 13.01)
Rows
- 0010Loans and advances
- 0015Of which: Non-performing
Columns
- 0010Residential immovable property
- 0020Commercial immovable property
- 0030Cash, deposits, [debt securities issued]
- 0031Movable property
- 0032Equity and debt securities
- 0041Rest
- 0050Financial guarantees received
- 0055Of which: credit derivatives
A worked example
The first of its checks, with simple numbers.
Non-performing loans and advances can then be at most 1,200.
A file that reports 1,200 passes. One that reports 1,300 fails, by 100.
The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.
Show the rule as writtenShowHide
EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.
{F_13.01,r0010,c0010,} >= {F_13.01,r0015,c0010,}The next five:
{F_13.01,r0010,c0020,} >= {F_13.01,r0015,c0020,}{F_13.01,r0010,c0030,} >= {F_13.01,r0015,c0030,}{F_13.01,r0010,c0031,} >= {F_13.01,r0015,c0031,}{F_13.01,r0010,c0032,} >= {F_13.01,r0015,c0032,}{F_13.01,r0010,c0041,} >= {F_13.01,r0015,c0041,}And 2 more, the same formula for the other cells it covers.
Other rules on F 13.01
- Financial guarantees received cannot be less than credit derivatives (v09600_m)Warning
- Credit derivatives cannot be negative (v09599_s)Warning
- A balancing check across breakdown of collateral and guarantees, and information on performing and non-performing exposures (F 18.00.d, v10674_m)Warning
- Loans and advances, financial guarantees received must equal the sum of its six parts (v10675_m)Warning
- Lending for house purchase plus credit for consumption cannot be more than households (v7789_m)Warning
- The sum of two rows cannot be more than non-financial corporations (v7788_m)Warning
- Small and medium-sized Enterprises (SMEs) cannot be more than non-financial corporations (v7787_m)Warning
- Loans and advances cannot be less than households (v4961_m)Blocking
Every FINREP 9 rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.