Search for Q&As

Enquirers can use various factors to search for a Q&A:

  • These include searching by the Q&A ID; legal reference, date submitted, technical standard / guideline, or by keyword if known.
  • Searches can be extended to more than one legal act, topic, technical standard or guidelines by making multiple selections (i.e. pressing 'Ctrl' on your keyboard, and selecting the relevant ones from the drop-down lists by left mouse-click).

Note for users:

Q&As refer to the provisions in force on the day of their publication. The EBA does not systematically review published Q&As following the amendment of legislative acts. You should therefore check the date of publication and whether the provisions referred to in the final Q&As remain the same.

An overview of all the Q&As affected by the review of CRR-CRD and BRRD Q&As against the revised versions of those legislative acts following the amendments introduced in June 2019 can be accessed here (updated on 10.12.2021).

Please note that the Q&As related to the supervisory benchmarking exercises have been moved to the dedicated handbook page. You can submit Q&As on this topic here.

List of Q&A's

Criteria for selecting the operations to be included in the calculation of fraud rates for the transaction risk analysis (TRA) exemption

Which of the following would be the correct temporal criterion for selecting the unauthorized transactions to be included in the numerator of the fraud rates calculated for the transactions risk analysis (TRA) exemption? a) the transaction date, i.e., the date on which the transaction was executed regardless of the date on which it is classified as unauthorized or fraudulent b) the registration date, i.e., the date on which the transaction is registered as unauthorized or fraudulent regardless of the date on which it was carried out 

  • Legal act: Directive 2015/2366/EU (PSD2)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2018/389 - RTS on strong customer authentication and secure communication

Template 2 - EBA val rules and Column 0160 Of which level of energy efficiency EP score in kWh_m of collateral estimate

Question 1: Are the validation rules v16092_m; v16090_m; v16088_m; v16086_m; v16084_m;v16082_m; v16080_m; v16078_m; v16049_m correctly defined?    Question 2:  How to deal with exposure for which and EPC is available, but the Level of energy efficiency (EP score in kWh/m² of collateral) is absent from the EPC?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Can Taxonomy eligible but not aligned exposure be included into template 10 “Other climate change mitigating actions that are not covered in the EU Taxonomy”

Question 1: Should this template include ONLY exposure NOT eligible in the EU Taxonomy? OR can exposure eligible in the EU Taxonomy but not aligned be reported as well?   Question 2: supposed the answer for question 1 is: exposure eligible in the EU Taxonomy but not aligned can reported in template 10, can we derive that such exposure will be reported in both the GAR (because eligible and not aligned) and in the template 10?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Definition of "financial holding company"

Does a financial institution need to have multiple subsidiaries to meet the definition of a financial holding company?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

Template 3: Banking book - Indicators of potential climate change transition risk: Alignment metrics

1.           Should the year of reference column refer to the year for which the latest emission intensities are available for a specific sector included in the template? 2.           Could you please confirm if alignment metrics should be calculated based on actual gross carrying amount (column c) in combination with the latest emission intensity information that is available for the specific sector?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Template 3: Banking book - Indicators of potential climate change transition risk: Alignment metrics

In relation to the minimum ‘list of NACE sectors to be considered’ in template 3, when detailed assumptions/ specific scenarios are not available on the IEA website for one of the NACE codes included in the “the minimum ‘list of NACE sectors to be considered’” (e.g. 29.32 Manufacture of other parts and accessories for motor vehicles), should it be left blank in the template?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Sum of breakdowns in Template 1 (financed emissions)

Should the sum of NACE sub-sectors for GHG financed emissions in columns i and j of Template 1 be equal to the total GHG financed emissions for that NACE sector?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Sovereign credit assessment to apply to exposure of central government, central bank and government-100%-owned central bank.

1. Is sovereign credit assessment of a country by a nominated ECAI available for assigning a corresponding risk weight to exposures to the central government or central bank of this country? 2. Is sovereign or central government credit assessment applicable to central bank when a central bank is 100% owned by central government?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

Scope of market risk inclusion

Should underlying securities in repo transactions be included in the calculation of own funds requirements for position risk when the firm does not have these securities on the balance sheet (i.e. the firm does not own these securities outright)?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

C.34.07 invalid validation rule EGDQ_0802 and EGDQ_0803

The validation ruleEGDQ_0802: The total exposure value ({c0010}) and RWEA ({c0060}) with own estimates of LGD and/or conversion factors ({s0001}) should be equal to the sum of all portfolios with own estimates of LGD and/or conversion factors. and EGDQ_0803: The total exposure value ({c0010}) and RWEA ({c0060}) with own estimates of LGD and/or conversion factors ({s0002}) should be equal to the sum of all portfolios with own estimates of LGD and/or conversion factors.Are incorectly implemented resulting in wrong validation error messages.EGDQ_0802 and EGDQ_0803 have to be looked at simultaneously. Both checks seem to be ''intertwined', resulting in a wrong comparison. The sum over all sheets 'with own estimates of LGD' is compared with the total sheet for 'without own estimates of LGD', and vice versa. The first check I would expect is to sum over all sheets 'with own estimates of LGD' , and compare it with the total sheet for 'with own estimates of LGD'The second check I would expect is to sum over all sheets 'without own estimates of LGD' , and compare it with the total sheet for 'without own estimates of LGD'.

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

Ability of the Share Premium to absorb losses

Can the Share Premium be recognised as CET1 capital if there are features preventing its use to absorb losses?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

Card data (PAN) to be returned in AISP calls

Does the ASPSP have to return the card number (PAN) attached to a fetched payment account in case the user can access this data during a standard session with its ASPSP in the direct internet banking interface? In case of "YES", does the TPP that is fetching this data have to be PCI DSS certified, since this data has to be encrypted based on the PCI DSS requirements? Moreover, could be the "card number (PAN)" considered sensible, since it could be potentially used for fraud?

  • Legal act: Directive 2015/2366/EU (PSD2)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2018/389 - RTS on strong customer authentication and secure communication

Share-linked instruments

Is it possible for listed institutions to award variable remuneration under a prospective remuneration plan in share-linked instruments which are priced based on their fair value, applying certain value tunings to the underlying share price due to regulatory availability constraints, including an adjustment to the market value of the share considering that the market value reflects a full entitlement to all expected future dividends?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: EBA/GL/2021/04 - Guidelines on sound remuneration policies under CRD (repealing EBA/GL/2015/22)

Prospective remuneration plan for variable remuneration

What requirements must a remuneration plan fulfil in order to fall under the concept of “prospective remuneration plan for variable remuneration, including LTIPs, […] exclusively based on future performance conditions”, as per para. 139 of the EBA Guidelines, so that instruments awarded under then plan should exceptionally be valued for the purpose of the calculation of the ratio between variable and fixed components of the total remuneration with the market price or fair value at the time the prospective remuneration plan was granted? In particular, can an incentive plan which combines both short-term and long-term performance conditions fulfil the requirements of a “prospective remuneration plan” within the meaning of para. 139 of the EBA Guidelines?

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: EBA/GL/2021/04 - Guidelines on sound remuneration policies under CRD (repealing EBA/GL/2015/22)

Mandatory substitution approach according to Article 403 when applying the CCR exposure value calculation as set out in Sections 3 to 5 of Chapter 6 of Title II of Part Three of Regulation (EU) No 575/2013 (Derivatives and Long Settlement Transactions)

Is the mandatory substitution approach according to Article 401 (4) detailed in Article 403 of the CRR to be applied when an institution uses SA-CCR, Simplified SA-CCR or OEM for the derivative business?If yes, what is the amount that the institution shall assign to the protection provider/collateral issuer? Also, what will be considered as original direct exposure value to be reduced by the amount assigned to the protection provider/collateral issuer? 

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Draft ITS on Supervisory Reporting of Institutions

Template 4 - Exposures to top 20 carbon-intensive firms

Could you please provide a single list to identify the top 20 most carbon-intensive firms?If not possible, can you define the criteria to be considered to identify the top 20 most carbon-intensive firms? For instance: sector of the counterparty, emissions scope considered (1, 2, 3)?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Template 2 - Energy efficiency of the collateral without EPC label

Could you please clarify the objective of columns o and p in rows 5 and 10 as EPC label cannot be estimated and the total is already reported in column a?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Template 1 - exposures towards companies excluded from EU Paris-aligned Benchmarks

Should the EU Paris-aligned Benchmarks exclusion criteria be applied at consolidated group level and to that end, exclude the total gross carrying amount of the exposure towards the consolidated group level?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures

Treatment of credit institutions from the UK in terms of limits to large exposures

Is it possible to consider the prudential, supervisory, and regulatory requirements applied to credit institutions located in the UK as at least equivalent to those applied in EU for the purpose of Article 391 of Regulation (EU) No 575/2013?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable

Misalignment between table 2 Annex XXXIX and Annex XL

The Pillar 3 DA foresees the publication of three qualitative sections which require the application, in particular, of Regulation (EU) no. 2022/2453. From the examination of this A discrepancy has been observed between the delegated regulation and its annexes I (which includes the text of the original annex XXXIX) and II (which contains the text of the original annex XL) regarding what is reported  in table 2 of the Annex XXXIX and what is described in the instructions for table 2 of Annex XL about letter d) relating to Governance on social risk. In particular:- In Annex XXXIX table 2 - Qualitative information on social risk in line d) for the Governance aspects, it is specified what information must be published: the "Responsibilities of the management body for setting the risk framework, supervising and managing the implementation of the objectives, strategy and policies in the context of social risk management covering counterparties' approaches to: (i) Activities towards the community and society, (ii) Employee relationships and labor standards, (iii) Customer protection and product responsibility, (iv) Human rights". The focus of the information appears to be on the approaches that the Bank's counterparties (customers and suppliers) take towards the community and society, its relationships with employees and compliance with labor standards, customer protection and product liability and human rights, posing an indirect risk for the financial institution.- In Annex XL the instructions for compiling the tables and models referred to in Annex XXXIX provide that "in accordance with Article 449a of Regulation (EU) No 575/2013, in conjunction with Article 435(1), point ( b), and Article 435(2), points (a), (b) and (c), of that Regulation, institutions shall describe how their management body is involved in the supervision and management of social risks. That information shall cover the rationale of the approach taken by the management body and take into account a number of social factors. Those factors include the institution’s engagement towards the community and society, its relationships with employees and compliance with labor standards, customer protection and product responsibility, and human rights.” In this case there would be a direct risk for the Bank. The art. 18 bis point 1 a) of Regulation (EU) 2022/2453 also establishes that, in relation to information on environmental, social and governance risks, entities (intended as financial institutions) publish "qualitative information on environmental, social and governance risks using tables 1, 2 and 3 set out in Annex XXXIX to this Regulation and following the instructions set out in Annex XL to this Regulation”.Should table 2 Annex XXXIX be filled reporting direct or indirect risks?   

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2022/2453 - ITS on ESG disclosures