Regulations and guidelines 1/2014 Risk reporting by credit institutions enters into force on 1 July 2016

On 9 March 2016, FIN-FSA issued regulations and guidelines on the reporting of loan-to-value ratio.

Content and objective of the regulations

The regulations and guidelines on risk reporting by credit institutions have been complemented by regulations and guidelines on the reporting of loan-to-value ratio. The maximum loan-to-value ratio as referred to in chapter 15, section 11 of the Credit Institutions Act will enter into force on 1 July 2016. For this purpose, FIN-FSA will start compiling data on consumer credit that has been granted on or after 1 July 2016 and that constitutes residential mortgages as referred to in chapter 7, section 7, subsection 4 of the Consumer Protection Act. The reported data are based on Regulations and guidelines 3/2015 Calculation of loan-to-value ratio.

​A supervised entity may apply for exemption from the obligation to report on loan-to-value ratio if its residential mortgage lending is limited. The application must be submitted to FIN-FSA in writing, and the exemption is valid until further notice or for a period specified in the exemption.

Entry into force

These regulations and guidelines will enter into force on 1 July 2016. The first reporting date is 30 September 2016, and the data must be submitted to FIN-FSA within 30 business days of the reporting date.

For further information, please contact

Jukka Aaltonen, Risk Specialist, tel. +358 10 831 5217 or jukka.aaltonen(at)fiva.fi

Attachments

Regulations and guidelines 1/2014: Risk reporting by credit institutions