The rule in plain words
Loan commitments given cannot be negative.
EBA checks it for five columns: accumulated impairment, accumulated negative changes in fair value due to credit risk and provisions, perfoming exposures with forbearance measures - accumulated impairment and provisions, non-performing exposures with forbearance measures - accumulated impairment, accumulated negative changes in impairment due to credit risk a, instruments with modifications in their terms and conditions, and refinancing. That makes five 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.
Refinancing: Loan commitments given >= 0
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Look for a value with the wrong sign in these cells, such as an amount entered as a negative number.
- 03EBA compares the values exactly here: there is no rounding tolerance.
- 04It runs only when your filing indicators mark F 19.00 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
Information on forborne exposures (II) (F 19.00.b)
Row
- 0340Loan commitments given
Columns
- 0120Accumulated impairment, accumulated negative changes in fair value due to credit risk and provisions
- 0130Perfoming exposures with forbearance measures - Accumulated impairment and provisions
- 0140Non-performing exposures with forbearance measures - Accumulated impairment, accumulated negative changes in impairment due to credit risk a
- 0150Instruments with modifications in their terms and conditions
- 0160Refinancing
A worked example
The first of its checks, with simple numbers.
Loan commitments given, refinancing must then be at least 0.
A file that reports 0 passes. One that reports -100 fails, by 100.
The numbers are illustrative.
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_19.00.b,r0340,c0160,} >= 0The next four:
{F_19.00.b,r0340,c0120,} >= 0{F_19.00.b,r0340,c0130,} >= 0{F_19.00.b,r0340,c0140,} >= 0{F_19.00.b,r0340,c0150,} >= 0Other rules on F 19.00.b
- Perfoming exposures with forbearance measures, accumulated impairment and provisions cannot be more than zero (v5710_s)Warning
- Each of the 228 values it checks in information on forborne exposures (II) cannot be more than zero (v5709_s)Warning
- Debt instruments at strict LOCOM, or fair value through profit or loss or through equity not subject to impairment: loans and advances must equal the sum of its six parts (v5358_m)Warning
- Debt instruments at strict LOCOM, or fair value through profit or loss or through equity not subject to impairment: debt securities must equal the sum of its five parts (v5355_m)Warning
- An upper-limit check across information on forborne exposures (F 19.00.d, F 19.00.c, v7889_m)Warning
- Loans and advances, exposures with forbearance measures must equal the sum of its three parts (F 23.04, v7986_m)Warning
- A matching-values check on information on forborne exposures (v8118_m)Warning
- Credit for consumption cannot be less than households (v3124_m)Warning
Every FINREP 9 rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.