Bank of England Eligibility Compliance for Residential Mortgage Backed Securities (RMBS), other Asset Backed Securities (CMBS, Auto Loan ABS, ABCP, SME CLO, Consumer Loan ABS, Leasing ABS) and Covered Bonds

Market Notice Announcements

The Bank of England (BoE) published Market Notices effective: 19^th July 2010 and 30^th November 2010 relating to the BoE’s Sterling Monetary Framework and its Eligible Collateral. These Notices apply to residential mortgage backed securities and covered bonds backed by residential mortgages.

The Bank further published Market Notices for Commercial Mortgage Backed Securities, Small-Medium Enterprise Loan Backed Securities and Asset Backed Commercial Paper effective: 20^th Dec 2011 and Consumer Loan, Auto Loan and Leasing Asset-Backed Securitisations effective: 17^th Dec 2012.

Please see the BoE’s webpage here for the official details.

What’s Required?

Issuers must disclose:

• Loan level Information

• Transaction documentation

• Transaction overviews

• Standardised monthly investor reports

• Cash flow models[1]

All of the information listed above must be made available via a secure website, managed by, or on behalf of the issuer and made available free of charge to users; a list of descriptions of parties eligible for access can be found in paragraph 32 on page 6 here.

Effective Dates of Bank of England Eligibility Requirements[2]

EuroABS Bank of England Compliance Services

All available as individual unit items or as a package.

• We have a suite of tools we can use to check your data and give opinion and advice on the compliance of your data.

• We are also able to liaise with your database staff to help with data preparation and compliance on a consultancy basis.

• Bespoke implementation of BoE compliant cash flow model or

• Secondary check of existing cash flow model

• We’ll securely host all your compliance information on a platform that’s an industry standard, tried and trusted by many structured finance issuers and investors.

Why Use EuroABS for Your BoE Compliance?

• We are specialists in these Markets with 2 decades of experience.

• We understand completely exactly what is required, will deliver the same and nothing beyond (anything delivered beyond the BoE requirements could leave the issuer further exposed to greater risk).

• We have worked with many issuers and, in partnership with them, have completed the process from inception to full BoE acceptance, compliance and granting of funding.

• We have 20 years of expertise in building bespoke Cash Flow Models.

• We use rigorous methods and processes – we are a fully ISO 9001 accredited company and use the infrastructure and server hosting services of an ISO 27001 accredited company.

• All the major investors already have access to other areas of our website – once authority has been received, granting access is fast and simple.

Please see our Testimonials page here.

We have the:

• specialist expertise,

• specialist experience and

• track record

to provide the highest quality finished product.

What you have to do?

• Simply provide us with the transaction documentation, data and reports.

• We’ll check your Loan Level Data, build your Cash Flow Model and Securely Host everything for you.

Optional:

• You can publish data and documentation to our secure website yourselves.

• You can control access to the website yourselves (control panel and permissioning methods provided online 24/7) or leave this to us.

• We can help you prepare your data and reports.

We can provide these services as a package or as individual unit offerings. Please call 0800 772 3276 or e-mail for further information and quotations.

[1] Not required for Covered Bonds backed by Residential Mortgages

[2] In each case (with the exception of the Transaction Documents dates) an additional period of 12 months is provided. During this period securities which do not meet the new requirements may remain eligible, though will be subject to increasing haircuts. Specifically, an additional 5 percentage point haircut will be applied at the beginning of this period, and the haircut will increase by an additional 5 percentage points every month during the transition. This haircut will be applied to any security within the relevant asset class until the Bank deems that the security meets all the transparency requirements.

[3] Applies to all transactions irrespective of asset class from 1^st July 2011 as can be seen in paragraph 16 here

[4] Backed by residential mortgages