Banking

Financial corporations engaged in lending are non-bank financial intermediaries whose principal business is extending credit rather than taking deposits. They provide funding to households and non-financial …

A financial intermediary is an institution that obtains funds from savers or other providers of finance and makes them available to parties requiring funds. Banks are …

A financial vehicle corporation (FVC) is a special-purpose entity used to convert pools of financial assets, most often loans, into investment instruments. It acquires or otherwise …

A fit-and-proper assessment is a regulatory review of whether a proposed member of a bank’s management body is suitable for the position. It is normally completed …

Under prudential regulation, an institution has a large exposure when claims on one counterparty, or on several economically linked counterparties, reach at least one-tenth of its …

The liquidity coverage ratio (LCR) is a prudential measure of a bank’s short-term liquidity resilience. It compares readily monetisable liquid assets with the cash shortfall expected …

The loan-to-income (LTI) ratio expresses a borrower’s debt as a multiple of income earned over one year. It is calculated by comparing the principal of the …

The loan-to-value (LTV) ratio shows what proportion of a property's value is represented by the outstanding loan. Expressed as a percentage, it is calculated by comparing …

Housing loans are borrowing arrangements used by households to finance residential property. They cover the acquisition of an existing dwelling, the construction of a home and …

Loans to euro-area residents comprise credit supplied by monetary financial institutions to households, companies outside the financial sector and public authorities domiciled in the euro area. …