Section 11 Requirements as to register and independent inspector

A mortgage credit institution shall for each cover pool establish a register of loans, interest rate contracts and foreign exchange contracts, substitute  assets and covered bonds. Such registers shall at minimum contain:

  1. An overview of loans containing the following information:

    a) Borrower’s name
    b) Borrower's personal identification number or organisation number
    c) Borrower’s address
    d) Original and outstanding loan amount
    e) Loan's maturity structure and cash flow
    f) Titleholder, address and register designation of the collateral
    g) Value of the collateral established in accordance with section 10
    h) If applicable, the guarantor's name, organisation number and address, amount and type of guarantee
    i) Any other claims that the mortgage credit institution has against the borrower or the titleholder of the collateral
    j) Statistical data, appraisals and other material concerning current valuation of the collateral included in the cover pool

  2. An overview of assets and liabilities in the form of derivative contracts containing the following information:

    a) Counterparty's name or firm and any identity number, as well as the latest applicable rating
    b) Counterparty's address
    c) Original and  outstanding contract amount
    d) Contract's maturity structure and cash flow
    e) Titleholder, address and register designation of any collateral
    f) Any other claims that the mortgage credit institution has on the counterparty or the titleholder of the collateral

  3. An overview of substitute assets containing the following information:

    a) Borrower's name or firm and any identity number, as well as the latest applicable rating
    b) Borrower's address
    c) Original and  outstanding loan amount
    d) Loan's maturity structure and cash flow
    e) Titleholder, address and register designation of any collateral
    f) Name or firm and address of any guarantor
    g) Any other claims that the mortgage credit institution has on the borrower or the titleholder of the collateral

  4. An overview of covered bonds containing the following information:

    a) Nominal value
    b) Interest terms
    c) Maturity date

The institution shall put forward an independent inspector who shall be appointed by SFA in accordance with the Financial Institutions Act section 2-34 first paragraph, unless SFA deems this individual to be unfit for purpose. The institution's elected auditor may be appointed under the first sentence.

The inspector shall at least every third month check that the requirements of the Financial Institutions Act sections 2-31 and 2-33 are met. The inspector shall each year inform SFA of the observations and assessments arising from the inspections. If the inspector has cause to believe that the requirements are not met, he shall inform SFA accordingly. The Financial Supervision Act section 3a) last paragraph applies correspondingly.