THE BANK INVESTOR RELATIONS COMMUNICATION CULTURE AND TERRITORY CONTACTS CORONAVIRUS EMERGENCY PRIVATE COMPANIES MEMBERS PREPAID CARDS INBANK HomeNew European rules on default NEW EUROPEAN DEFAULT RULES From 1 January 2021, Banca Popolare di Lajatico applies the new European rules on the classification of defaulting customers that were introduced by the European Banking Authority to standardize the behavior of credit institutions in EU countries. The new legislation establishes more restrictive criteria and methods for classification by default than those adopted so far. Consequences of the new rules With the new rules, from 1 January 2021, even a current account overrun, above the new thresholds established for individuals, SMEs and businesses, can lead to the transition to default of all its exposures to the Bank and could make access to credit and the granting of new loans more difficult. MAIN NEWS How credits are classified as past due and / or overdue exposures: Until December 2020 The bank classifies the customer as default upon the occurrence of a continuous delay of more than 90 days in the payment of principal, interest or commissions for an amount representing at least 5 % of total customer exposures to the bank. With the new rules, the bank classifies the customer as default in the event of an overdue payment of principal, interest or commissions for an amount exceeding both of the following thresholds for more than 90 consecutive days: • in absolute terms: euro 100 for retail exposures (Individuals and SMEs - classified as "retail") and € 500 for other exposures; • in relative terms: 1% of the total amount of all client exposures. Offsetting between credit lines Until December 2020 For the purposes of determining the overdue and / or overdue amount, the Bank clears, on a daily basis, overdue and overdue exposures on certain credit lines with any margins available on other credit lines. credit granted to the same counterparty. With the new rules The legislation no longer allows offsetting. The Bank will be required to classify the customer as default even in the presence of availability on other unused credit lines. When a counterparty leaves the classification of overdue and / or overdue impaired Until December 2020 A counterparty exits the classification of overdue and / or impaired overdue to return to performing in the event that, following the payment of arrears, the overdue and / or overrun of more than 90 days or the ratio between the overdue amount and / or overrun and the total amount of credit exposures claimed by the Bank towards the same counterpart falls below the materiality threshold of 5%. With the new rules A counterparty exits the classification of overdue and / or impaired overdue to return to performing in the event that, for at least 3 months, any overdue / overdue relating to the position has never exceeded the absolute materiality thresholds at the same time and relative. Contagion events of default Until December 2020 There is no automatic contagion of default in the case of joint obligations (so-called "joint title") towards the joint holders (and vice versa) or in the case of default of a partnership towards the shareholders who are unlimitedly liable for the obligations of the same. With the new rules In the case of joint credit obligations (e.g. joint headings in which two or more debtors are jointly liable for the repayment of the same), the default of a debtor does not automatically extend to joint headings. In the event that all the debtors exposed jointly are classified in a state of default, the joint obligation is also automatically considered in default; similarly, if the joint obligation is classified in a state of default, the obligations of all the individual debtors are also considered in default if the same is relevant with respect to the overall exposures of the single joint holder. With reference to the default of a partnership, the contagion automatically applies to exposures to shareholders with unlimited liability for the obligations of the same. Renegotiation of debt due to financial difficulty Until December 2020 There is no automatic classification as default in the event of renegotiation of debt due to financial difficulties of the counterparty (so-called "forbearance measure") With the new rules Mandatory classification of the counterparty is required in a state of default in the event that any renegotiation of the debt due to its financial difficulty (so-called "forbearance measure") entails a loss of more than 1% for the Bank. Consigli utili • Rispettare sempre le scadenze ed evitare di accumulare arretrati sui prestiti attivi indipendentemente dall’importo. • Verificare frequentemente i saldi dei conti correnti e delle carte di credito. • Tenere sotto controllo la situazione dei rapporti cointestati, anche di quelli non gestiti in prima persona. • In caso di difficoltà rivolgersi alla propria Filiale per valutare insieme possibili soluzioni e per ricevere il massimo supporto in questa importante fase di cambiamento. Contesto Normativo – Regolamento dell’Unione Europea del 26 giugno 2013 – n° 575 – art. 178 – introduce specifiche disposizioni sul default di un debitore. – Regolamento delegato dell’Unione Europea n. 171 del 19 ottobre 2017 – definisce i criteri per fissare la soglia di rilevanza, a cui si dovranno attenere le autorità di vigilanza. – Raccomandazione della Commissione Europea 2003/361/CE del 6 maggio 2003 – definizione di Piccola e Media Impresa. – Linee Guida EBA/GL/2016/07 – Orientamenti EBA sull’applicazione della definizione di default ai sensi dell’articolo 178 del regolamento (UE) n. 575/2013. 1884 ANNO DI FONDAZIONE 137 ANNI 18 FILIALI 6.900 SOCI 231/2001 RECLAMI ANTIRICICLAGGIO TRASPARENZA PRIVACY COOKIE POLICY MIFID 2 NUOVE REGOLE EUROPEE IN MATERIA DI DEFAULT PRODOTTI ASSICURATIVI ACF SITEMAP ISCRIVITI ALLA NEWSLETTER Resta aggiornato sulle novità e i servizi di Banca Popolare di Lajatico INFORMATIVA AI SENSI DELL'ART. 13 DEL REGOLAMENTO UE 2016/679: Banca Popolare di Lajatico, in qualità di Titolare del trattamento, La informa che I Suoi dati personali saranno trattati esclusivamente per l’invio, da parte del Titolare, di newsletter e comunicazioni commerciali al recapito da Lei fornito. La base giuridica per l’invio di comunicazioni commerciali e della newsletter è il Suo consenso espresso, nel rispetto all’art. 6 paragrafo 1, lettera a) Regolamento (UE) 2016/679. I Suoi dati personali saranno trattati fino a quando deciderà di revocare il Suo consenso od opporsi al trattamento. Il Titolare La invita, inoltre, prima di conferire i Suoi dati personali, a visionare l’informativa completa sul trattamento dei Suoi dati personali, issued in compliance with Article 13 of Regulation (EU) 2016/679, accessible at the following link: www.bplajatico.it/privacy/ . I AGREE TO THE TREATMENT OF MY DATA FOR THE PURPOSES INDICATED IN THE INFORMATION NOTICE FOLLOW US ON: BANCA POPOLARE DI LAJATICO Via Guelfo Guelfi, 2 - 56030 Lajatico (PI) Tel. 0587.640511 - Fax 0587.640540 - bplajatico@bplajatico.it VAT number 00139860506 BRANCHES CONTACTS © Copyright Banca Popolare di Lajatico