The Danish Financial Supervisory Authority has issued four orders to Skjern Bank following a review of 50 decisions on housing finance.
In five cases, the authority assessed that the customers were not financially robust enough for the bank to have approved the financing. The review also identified errors and deficiencies in, among other things, calculations of disposable amounts and wealth positions.
Skjern Bank must also change its handling of valuations and its credit policy for financing cooperative housing.
The review did not lead to any change in the bank’s solvency requirement.
