[ESMA 33-128-563 Securitisation Q&A, Q&A 5.3.27]

(a) The term “balances ranking prior” refers to underlying exposures which, at the data cut-off date, are more senior than the underlying exposure in the securitisation.

(b) If the underlying exposure is a re-mortgage, and the previous mortgage has been terminated, then this field should not be completed with the balance of that prior mortgage. This field should be completed for all currently-outstanding underlying exposure principal balances that rank above the current underlying exposure balance being reported in this submission of Annex 2 (or Annex 4, where applicable).