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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. Users of the Q&A tool should therefore check the date of publication of the Q&A and whether the provisions referred to in the answer remain the same.

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.

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List of Q&A's

The definition of payment services and in particular the definition of execution of payment transaction in relation to netting centers

1. Is an (international) non-profit association, acting as netting centre in the framework of a multilateral netting agreement entered into between its members, that receives and forward funds to and from its members through a bank account opened in its name deemed to carry out payment services falling within the scope of Article 4(3) of Directive (EU) 2015/2366 of the European Parliament and of the Council of 25 November 2015 on payment services in the internal market, amending Directives 2002/65/EC, 2009/110/EC and 2013/36/EU and Regulation (EU) No 1093/2010, and repealing Directive 2007/64/EC ('PSD2') (e.g. the execution of payment transaction or money remittance)?2. If the netting center is deemed to carry out payment services, can the netting centre rely on exclusion of Article 3(n) of PSD2, i.e. 'payment transactions and related services between a parent undertaking and its subsidiary or between subsidiaries of the same parent undertaking, without any intermediary intervention by a payment service provider other than an undertaking belonging to the same group'?

  • Legal act: Directive 2015/2366/EU (PSD2)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6489
  • Topic: Authorisation and registration
  • Date of submission:
  • Published as final Q&A: 11/10/2024

Netting of FSE holdings

Scope of EBA Q&A 2019_4517 with respect to trading book positions.

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6488
  • Topic: Own funds
  • Date of submission:
  • Published as Rejected Q&A: 26/01/2023

Netting of Financial Sector Entity (FSE) holdings

Is there a requirement to establish an additional credit risk exposure in case FSE deduction amounts are reduced by netting with eligible short FSE positions?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6487
  • Topic: Own funds
  • Date of submission:
  • Published as Rejected Q&A: 26/01/2023

Netting of Financial Sector Entity (FSE) holdings

Is there a requirement to establish an additional credit risk exposure in case Financial Sector Entity (FSE) deduction amounts are reduced by netting with eligible short FSE positions?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6486
  • Topic: Own funds
  • Date of submission:
  • Published as Rejected Q&A: 26/07/2022

Section 3: Delta Plus Approach

I’m using the delta-plus approach to calculate our own funds requirement for gamma risk which seems to be generating an excessive capital requirement relative to the overall notional value of the option contract. Using the example of a short call commodities option. Position:        -1000 K Strike ($):     3490 Delta:             -0.4072933 Gamma:         -0.005789126 Underlying ($): 3319 The formula to apply is as follows: VU: for commodity options or warrants is equal to the market value of the underlying, multiplied by the weighting indicated in point (a) of Article 360.1 of Regulation Regulation (EU) No 575/2013 Weighting:  15% VU = (1000 x -0.4072933) x 3319 x 0.15 = -$202,770 Gamma Risk = 0.5 x -0.005789126 x 202770^2  = $119,013,043 Notional Value of Contract = -1000 x 3490 = $3,490,000 GR/NVC Multiple = 34.1 or 3410% Please can you confirm my application of Annex1 – Formula to be used for the purposes of Article 5(2).

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) No 528/2014 - RTS on non-delta risk of options in the standardised market risk approach
  • ID: 2022_6485
  • Topic: Market risk
  • Date of submission:
  • Published as Rejected Q&A: 26/07/2022

Capital increase without the issuance of new shares

Is a capital increase without the issuance of new shares in scope of article 26(3)?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6484
  • Topic: Own funds
  • Date of submission:
  • Published as Rejected Q&A: 26/01/2023

French “EU General Fund” instruments issued by Life Insurance companies: Application of Financial Collateral Comprehensive Method and implication for Large Exposures.

How should EU General Funds instruments issued by Life Insurance Companies in France, characteristics of which are described in background section, be treated in relation to: Credit Risk Mitigation (CRR Part 3, Title II, Chapter 4); Large Exposure Framework (CRR Part 4).

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6483
  • Topic: Large exposures
  • Date of submission:
  • Published as Rejected Q&A: 31/10/2022

Cross-gamma impact included in the gamma impact?

In determination of the Own funds requirements for gamma risk according to the Delta-plus approach, should institutions take account of cross-gamma effect?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) No 528/2014 - RTS on non-delta risk of options in the standardised market risk approach
  • ID: 2022_6482
  • Topic: Market risk
  • Date of submission:
  • Published as Rejected Q&A: 26/07/2022

Reading of the term "means of payment"

What are the 'means of payment' in the LNE Guidelines (guidelines 1.6 and 1.7)? Does the term refer to the technological level of a physical device or a digital carrier, which may accommodate several payment instruments, such as plastic card (chip or magnetic stripe), a mobile phone, a wallet, an app, a wearable, a tablet, a PC or even a specific storage location on an external server? Please provide examples of 'other means of payment' that are relevant in practice from the EBA's perspective. How is the definition of payment instrument according to Article 4(14) PSD2 to be read in the context of the LNE Guidelines? Is the interpretation of the adjective “card-based” (in combination with means of payment) in line with the same adjective in combination with payment instruments according to Article 2(20) of Regulation (EU) 2015/751 (“IFR”)?

  • Legal act: Directive 2015/2366/EU (PSD2)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: EBA/GL/2022/02 - Guidelines on the limited network exclusion
  • ID: 2022_6481
  • Topic: Other topics
  • Date of submission:
  • Published as final Q&A: 29/09/2023

v7380_m and v7381_m

Because of validation rules v7380_m and v7381_m, we perform a check on the computation of the RWEA to ensure consistency of RWEA reported on securitisation transactions between templates C 13.01, C 19.00, C 20.00 vs. C 14.01. To comply with rule EGDQ_0362h_5, it is expected that there are no RWA being reported in template C 14.01 for any securitisation position on underlying identified as 'Covered Bonds' or 'Other liabilities'. How can we fulfill v7380_m and v7381_m, where we have securitisation positions with underlyings identified as 'Covered Bonds' or 'Other liabilities', so that we did not report any RWA in template C 14.01 as requested by rule EGDQ_0362h_5?  

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6480
  • Topic: Supervisory reporting - COREP (incl. IP Losses)
  • Date of submission:
  • Published as Rejected Q&A: 25/01/2023

Credit conversion Factor (CCF) reporting

Our concerns would apply to almost all IRB templates (i.e. COREP C 08.01). What would be the correct option?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6479
  • Topic: Supervisory reporting - COREP (incl. IP Losses)
  • Date of submission:
  • Published as Rejected Q&A: 29/06/2023

C 14.00 - Consistency of v7667_a

Is the validation rule v7667_a consistent with the ITS?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6478
  • Topic: Supervisory reporting - COREP (incl. IP Losses)
  • Date of submission:
  • Published as Rejected Q&A: 25/01/2023

Calculation of RWA for assets that are deducted from own funds

As a follow-up question to Q&A 6106, what would be the appropriate risk weight to be used for the purposes of col 0030 'RWEAs: SA exposures' in the case of assets that are deducted from own funds?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) No 680/2014 - ITS on supervisory reporting of institutions (repealed)
  • ID: 2022_6477
  • Topic: Supervisory reporting - Leverage ratio
  • Date of submission:
  • Published as Rejected Q&A: 03/05/2024

Netting of DTAs with DTLs for the purposes of the calculation of leverage exposures

For the purposes of calculation of leverage exposures as per CRR Art. 429 should the amount of DTAs be reduced  by the amount of the associated deferred tax liabilities?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6476
  • Topic: Leverage ratio
  • Date of submission:
  • Published as Rejected Q&A: 26/07/2022

Credit risk and EBA Clearing instant payment system RT1

  Credit institutions are participating in EBA Clearing instant payment system RT1. Whether the bank’s credit risk exposure related to the system holding balance is to the system operator, ie EBA Clearing or to the European Central Bank as the institution managing the consolidated accounts?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6475
  • Topic: Credit risk
  • Date of submission:
  • Published as Rejected Q&A: 28/10/2022

Independence of the internal control functions

We would like to clarify if the organizational set-up of the control functions can be considered as fully compliant within the applicable regulatory framework to ensure independence of the control functions if the Chief Compliance Officer (CCO) is structurally allocated and subordinated to the Chief Executive Officer (CEO) in a two-tier governance structure model?  

  • Legal act: Directive 2013/36/EU (CRD)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: EBA/GL/2021/05 - Guidelines on internal governance under CRD - repealing EBA/GL/2017/11
  • ID: 2022_6474
  • Topic: Internal governance
  • Date of submission:
  • Published as Rejected Q&A: 04/11/2022

K-CON own fund requirements

How should the K-CON requirement be calculated under Article 39 of Regulation (EU) 2019/2033?   

  • Legal act: Regulation (EU) No 2019/2033 (IFR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Not applicable
  • ID: 2022_6473
  • Topic: Concentration risk
  • Date of submission:
  • Published as final Q&A: 28/04/2023

Validation rule eba_v0314_m

 Is the formula of validation rule eba_v0314_m consistent for the columns 216 and 217 ?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6472
  • Topic: Supervisory reporting - COREP (incl. IP Losses)
  • Date of submission:
  • Published as Rejected Q&A: 28/10/2022

v10861_m - G-SII- vs LR-reporting

Is the formula of validation rule eba_v10861_m consistent ?

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6471
  • Topic: Supervisory reporting - Other
  • Date of submission:
  • Published as Rejected Q&A: 28/10/2022

F 36 - Reporting of rows "Matching liabilities"

Q&A 682 suggests to follow a ‘quality’ criterion to split the liabilities amount in case of multiple different types of encumbered assets. In our opinion, the meaning of ‘quality' is not clear, because multiple drivers can be used.    

  • Legal act: Regulation (EU) No 575/2013 (CRR)
  • COM Delegated or Implementing Acts/RTS/ITS/GLs: Regulation (EU) 2021/451 – ITS on supervisory reporting of institutions
  • ID: 2022_6470
  • Topic: Supervisory reporting - Asset Encumbrance
  • Date of submission:
  • Published as Rejected Q&A: 16/02/2023