+5.2 NPE operating model
---+5.2.1 NPE workout units
------+63. In order to mitigate sufficiently any conflict of interest in managing NPEs, as well as to make …
------+64. Where overlaps with the decision-making bodies, managers or experts involved in the loan …
------+65. Credit institutions should have arrangements in place to ensure that regular feedback between …
------+66. When designing an appropriate NPE WU structure, credit institutions should take into account …
------+67. Credit institutions should consider designing automated processes for NPE WUs for homogeneous …
------+68. Smaller and less complex credit institutions (e.g. those that are classified in SREP Category 3 …
------+69. For proportionality purposes, smaller and less complex credit institutions (e.g. those that are …
---+5.2.2 Alignment with the NPE life cycle
------+70. NPE WUs should be set up to ensure that NPE workout activities and borrower engagements are …
------+71. Credit institutions should consider the following phases in the NPE life cycle, taking into …
------+72. Managing foreclosed assets (or other assets stemming from NPEs): collateral repossession …
---+5.2.3 Grouping exposures
------+73. The EBA Guidelines on credit risk management practices and accounting for expected credit …
------+74. A list of potential selection criteria for grouping retail NPEs into portfolios is contained in …
------+75. For corporate NPE portfolios, grouping by asset class or sector (e.g. commercial real estate …
---+5.2.4 Human resources
------+76. Credit institutions should have in place an appropriate organisational framework relative to …
------+77. Sharing management and resources with other parts of the value chain (e.g. loan origination) …
------+78. Based on the findings of the credit institution’s NPE self-assessment on capabilities, as …
------+79. Credit institutions should build up the relevant expertise required for the defined NPE …
------+80. Where it is not possible or efficient to build in-house expertise and infrastructure, the NPE …
------+81. The credit institution, in alignment with the overall NPE strategy and operational plan, should …
------+82. The performance measurement framework for the management body and relevant managers should …
------+83. Addressing early warnings signals and indicators should be encouraged by credit institutions …
---+5.2.5 Technical resources
------+84. In terms of adequate technical infrastructure, credit institutions should ensure that all …
------+85. An adequate technical infrastructure should enable NPE WUs to: a) Access all relevant data and …
------+86. The adequacy of the technical infrastructure, including data quality, should be assessed by an …

5.2 NPE operating model

5.2 NPE operating model

1. Overview

,
5.2.1 NPE workout units

5.2.1 NPE workout units
5.2.2 Alignment with the NPE life cycle

5.2.2 Alignment with the NPE life cycle
5.2.3 Grouping exposures

5.2.3 Grouping exposures
5.2.4 Human resources

5.2.4 Human resources
5.2.5 Technical resources

5.2.5 Technical resources

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

Requirements

3. Related Standards

Standards
  • EBA - Published by the European Banking Authority at https://www.eba.europa.eu/