Crédit Mutuel Home Loan SFH products, services and reviews

About Crédit Mutuel Home Loan SFH

Crédit Mutuel Home Loan SFH is the dedicated covered bond issuer of the Crédit Mutuel group for the refinancing of French residential mortgages, set up as a société de financement de l’habitat under the French Monetary and Financial Code and supervised by the ACPR. It issues obligations de financement de l’habitat (OFH) backed by a segregated cover pool of prime home loans originated mainly by the Crédit Mutuel and CIC networks, consisting of first‑lien mortgages and loans guaranteed by eligible third‑party guarantors, in line with French SFH rules. The structure is bankruptcy‑remote, with privileged claims over cover assets, statutory coverage and stress tests, legal minimum overcollateralization, and a liquidity buffer designed to ensure continuity of payments for a defined horizon; derivatives used for interest rate and, where applicable, currency hedging rank within the privileged estate. Issuance is predominantly in euros in benchmark and private formats, often with soft‑bullet maturities, and is intended to be compliant with the EU Covered Bond Directive framework; OFH are generally eligible for Eurosystem repo and, subject to regulatory conditions, for preferential capital treatment. The program publishes regular investor reports detailing pool composition, loan performance, overcollateralization, LTV metrics, seasoning, arrears, and geographic breakdown. Key risk considerations include concentration in the French housing market, reliance on group entities for loan servicing and operational support, exposure to the credit quality of guarantors used in the pool, and legislative or regulatory changes affecting covered bonds. Ratings on OFH from this issuer have historically been at the high end of the scale, but investors typically monitor current ratings, asset quality trends, and issuance terms for each transaction.