4.2. Criteria to determine activities to be considered a direct extension of banking under Article 4(1)(18)(a) of Regulation (EU) No 575/2013

Activities that are fundamental to the value chain of core banking services referred to in points 1, 2 and 6 of Annex I to Directive 2013/36/EU should be considered a direct extension of banking. These activities include the following:

• a. the brokerage of commercial or residential loans or deposits;
• b. loan servicing, including where it is carried out by credit servicers within the meaning of Article 3(8) of Directive (EU) 2021/2167;
• c. creditworthiness assessment of individual clients of an institution or a financial institution;
• d. debt recovery;
• e. valuation of collateral;
• f. acquisition, ownership, management and liquidation of repossessed assets; and
• g. loan intermediation and distribution through innovative channels such as crowdfunding services, peer-to-peer platforms, or marketplace lending, where these activities contribute to lending.

The activities listed in points (a) to (f) should be considered a direct extension of banking only when they are mainly provided to or carried out in the interest of institutions or financial institutions.