Q: Should performance data be reported for mortgages granted before October 31 2004 (eg unregulated mortgages and first charge mortgages regulated under the Consumer Credit Act)?
A: Performance data should only be reported for regulated mortgage contracts.
Q: How is performance data reported where a mortgage is made up of both regulated and unregulated parts?
A: The rules do not require firms to report the non-regulated part(s). However, for data analysis reasons, our preference is for firms to report the total balance of all parts of such mortgages in the performance data (whether regulated or not). Apart from that, apply the usual rules, eg report the characteristics of the largest part (even if it is the non-regulated part).
Q: Where a mortgage has multiple parts, which part is reported where the largest part has changed between reporting periods? (eg because the borrower has made overpayments on one part)
A: The largest part should be reported. This may change over time, and so may be a different part to previous reporting periods.
Q: What should be reported for ‘original transaction reference’ in performance data if the original transaction reference is not known?
A: If you are not able to identify the transaction reference used on the original PSD sales data return, then as per the Handbook notes, you should report a current unique reference for the transaction (eg account number) that can be used to identify the account in future. We will use the transaction reference not only to match the account in the performance data with the original sales data transaction, but also to identify the account in future performance data returns. So it is very important that firms report the same transaction reference number for each individual account going forward.
Q: What should be reported for ‘Date of start of most recent instance of arrears’ in the first performance data report (due to be submitted within 30 working days of the end of the second quarter of 2015) for historic accounts that may have been in and out of arrears for a long time?
A: We recognise that retrieving the start date for cases already in arrears might be difficult, so where the most recent instance started before 1 January 2015, you can report either 1 January 2015, or the actual start date if you know it (as per note (7) on page 8 in PS12/16). Going forward, the same date should be reported for each period during which the same instance of arrears continues (including the reporting period where the arrears are cleared). If the account enters arrears again, the start date of the new instance of arrears should then be reported.
Q6: If the status of an account varies during a reporting period, how is this reported, eg if there is a payment shortfall or arrears during the period, but these are cleared by the reporting date?
A: For ‘current amount of payment shortfall’ report the situation on the reporting date. So if the account has been in payment shortfall during the reporting period but is up to date on the reporting date then do not report a payment shortfall. However, for ‘date of start of most recent instance of arrears’, report the start date of arrears even if the arrears have been cleared during the reporting period (because the rules require this to be reported for the reporting period in which the arrears are cleared).
Q: Where an interest-only mortgage has been extended in the reporting period beyond the original term, should the date on which the term extension was put in place also be reported?
A: Yes, we expect the date to be reported for this type of case.
Q: When should we stop reporting the 'date of start of most recent instance of arrears' field for a mortgage no longer in arrears?
A: This field should be populated up to and including the reporting period in which the arrears are cleared in full with no remaining payment shortfall. Once the mortgage is brought up to date, firms no longer need to report this field until such a time that the mortgage re-enters arrears.
Q: For lifetime mortgages, what should be reported against the 'original term of mortgage loan (in months)' and 'remaining term of mortgage' fields?
A: In each PSD performance return, firms should populate these fields with a value of 9999 for lifetime mortgages. (The 'term of mortgage in months' field in the sales data return does not need to be reported for lifetime mortgages.)