Identification of ominous bank behavior and efficient handling of complaints and enquiries

The Commission helped to increase the OeNB's capability to identify atypical bank behavior. To this end, among other things, the FMA's complaint and enquiry management system was redesigned to also serve as a potential support system for the OeNB

Context

Since in the information age (potentially) more and new data can be used for supervision, the European Commission has agreed to the request made by Austria to provide technical support in the area of prudential supervision. In the project streams, the focus was therefore primarily on using data sources other than official ones to identify atypical bank behavior

Support delivered

In the FMA stream, the complaint and enquiry management was analysed and the requirements and technical specifications for efficiency-enhancing input processing were defined. In the OeNB stream, the current model for predicting untypical bank behavior was analysed and an attempt was made to make use of publicly available data and FMA data to predict atypical bank behavior.

Results achieved

The project enhanced the capacity of the financial supervisors. The FMA has already implemented its new complaint and enquiry handling system. The new processes will enable the OeNB to include simplified FMA complaints data in its analyses in the future. On the OeNB side, it was found that publicly available data and FMA complaint data may, on a stand-alone basis, have clear, albeit moderate, predictive power for atypical bank behavior.