11. For the purposes of Article 126a(2), point (a), of the CRR, the cash deposit made for a legally …

For the purposes of Article 126a(2), point (a), of the CRR, the cash deposit made for a legally binding pre-lease contract should be considered as substantial where the following ratio is equal to or higher than 300%:

Where:

• - CD: is the cash deposit paid by the tenant which is subject to forfeiture if the pre-lease contract is terminated;
• - MR: is the monthly rent as indicated in the pre-lease contract.

1. Overview

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related Standards

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