Line4

1 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Subordinated liabilities (not recognised as own funds) >= 1 year cannot be less than the sum of two rows (EBA rule v10795_m)

A warning in the loss-absorbing capacity return (MREL and TLAC), on template M 04.00, funding structure of eligible liabilities (LIAB MREL).

Check your file against this ruleWhat to do if it fails

The rule in plain words

Subordinated liabilities (not recognised as own funds) >= 1 year cannot be less than residual maturity >= 1 year and < 2 years plus residual maturity >= 2 years.

All the values are in the amount eligible for MREL / internal MREL column (0010) of M 04.00.

How the Line4 Check report words itShow

Word for word as the report shows it when the rule fails.

Subordinated liabilities (not recognised as own funds) >= 1 year >= Of which: residual maturity >= 1 year and < 2 years + Of which: residual maturity >= 2 years

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 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.
  3. 03EBA allows a small rounding difference, worked out from the decimals each value is reported with.
  4. 04It runs only when your filing indicators mark M 04.00 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

Funding structure of eligible liabilities (LIAB MREL) (M 04.00)

Rows

  • 0700Subordinated liabilities (not recognised as own funds) >= 1 year
  • 0710Of which: residual maturity >= 1 year and < 2 years
  • 0720Of which: residual maturity >= 2 years

Column

  • 0010Amount eligible for MREL / internal MREL

A worked example

The first of its checks, with simple numbers.

Illustrative values
residual maturity >= 1 year and < 2 years1,200
residual maturity >= 2 years800
Together2,000
What the rule then expects

Subordinated liabilities (not recognised as own funds) >= 1 year must then be at least 2,000.

2,000Passes
1,900Fails

A file that reports 2,000 passes. One that reports 1,900 fails, by 100.

The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.

Show the rule as writtenShow

EBA's formula. Cells are written as {template, row, column, sheet}.

{M_04.00,r0700,c0010,} >= {M_04.00,r0710,c0010,} + {M_04.00,r0720,c0010,}

Every MREL and TLAC rule, by template

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