Regulatory Alerts2025-01-01 | FIN-FSA Regulations and guidelines 1/2025Management of default risks in consumer lending
The Finnish Financial Supervisory Authority (Finanssivalvonta) issued regulations and guidelines to standardize the management of default risks in consumer lending, requiring credit grantors to implement robust risk classification systems. The document addresses stakeholder feedback, particularly from the Bank of Finland and the Finnish Financial Industry Association, clarifying that the new reporting obligations are distinct from prudential supervision and necessary for assessing creditworthiness. It mandates specific reporting formats to ensure consistent monitoring of default risks across all consumer credit providers, including credit institutions.
Share