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1 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Value adjustments and provisions cannot be more than zero (C 08.06, EBA rule v10310_s)

A warning in the own funds and capital requirements return (COREP own funds), on template C 08.06, credit risk and free deliveries: IRB approach to capital requirements: specialised lending slotting approach (CR IRB 6).

Check your file against this ruleWhat to do if it fails

The rule in plain words

(-) value adjustments and provisions cannot be more than zero.

EBA checks it for twelve rows, from less than 2.5 years (0010) to equal to or more than 2.5 years (0120). That makes twelve checks. A failure names the one that failed.

How the Line4 Check report words itShow

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.

(-) Value adjustments and provisions: Equal to or more than 2.5 years <= 0

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 02Look for a value with the wrong sign in these cells, such as an amount entered as a negative number.
  3. 03EBA compares the values exactly here: there is no rounding tolerance.
  4. 04It runs only when your filing indicators mark C 08.06 as reported.
  5. 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

Credit risk and free deliveries: IRB approach to capital requirements: specialised lending slotting approach (CR IRB 6) (C 08.06)

Rows

  • 0010Less than 2.5 years
  • 0020Equal to or more than 2.5 years
  • 0030Less than 2.5 years
  • 0040Equal to or more than 2.5 years
  • 0050Less than 2.5 years
  • 0060Equal to or more than 2.5 years
  • 0070Less than 2.5 years
  • 0080Equal to or more than 2.5 years
  • 0090Less than 2.5 years
  • 0100Equal to or more than 2.5 years
  • 0110Less than 2.5 years
  • 0120Equal to or more than 2.5 years

Column

  • 0100(-) Value adjustments and provisions

A worked example

The first of its checks, with simple numbers.

What the rule then expects

Equal to or more than 2.5 years, (-) value adjustments and provisions can then be at most 0.

0Passes
100Fails

A file that reports 0 passes. One that reports 100 fails, by 100.

The numbers are illustrative.

Show the rule as writtenShow

EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.

{C_08.06,r0040,c0100,} <= 0

The next five:

{C_08.06,r0050,c0100,} <= 0{C_08.06,r0120,c0100,} <= 0{C_08.06,r0090,c0100,} <= 0{C_08.06,r0020,c0100,} <= 0{C_08.06,r0030,c0100,} <= 0

And 6 more, the same formula for the other cells it covers.

Every COREP own funds rule, by template

Checks like this one, run at the point of submission, are the first step to real-time supervision.