Mortgage loan portfolio: : Credits granted to natural persons for the acquisition of homes (new or used), or for the construction of single-family homes. .

Classification of the portfolio according to currency: Corresponds to the currency in which the mortgage loan for housing was granted, which could be in pesos or real value units -uvr.

Loan portfolio in uvr: Corresponds to the mortgage loans for housing indexed to the uvr..

Loan portfolio in pesos: Corresponds to the mortgage loans for housing granted in pesos and are not indexed to the uvr.

Type of loan according to holder: the mortgage loan portfolio may be classified according to the holder of the asset under management. thus, the mortgager loan portfolio may belong to there financing entity or it may belong to another entity but is managed by the other..

Proprietary loan portfolio: a mortgage loan portfolio that belongs to the entities that finance housing. the income from that portfolio belongs to the managing entity. the proprietary loan portfolio is classified into on-balance sheet and off-balance sheet.

Loan portfolio under management: The mortgage loan portfolios that are managed by financial institutions, that is, they carry out all the operational and accounting processes, but he portfolio belongs to another entity. the revenues from this portfolio belong to the holder and not to the managing entity. the loan portfolio under management includes securitized loans in special purpose vehicles, fogafín loan portfolio, and sold loan portfolios.

On-balance sheet proprietary loan portfolio:  : Belongs to the reporting entity and forms part of its assets..

Off-balance sheet proprietary loan portfolio: : A loan portfolio that does not form part of the entity’s assets. it includes mortgage loan portfolios that have been written off for purposes of restructuring the balance sheet and is included in the memorandum accounts..

Proprietary Loan portfolio – cisa: Corresponds to the mortgage loan portfolio that has been turned over to the central de inversiones s.a. (investments central), as part of restructuring and liquidation processes and which is managed by financial entities. it is reported by the central de inversiones s.a.

Loan portfolio under management – securitization: Corresponds to the mortgage loan portfolio that has been take off the financial entity’s balance sheets and has been securitized. it belongs to trusts and other non-financial entities such as the sociedad titularizadora (securitization firm).

Loan portfolio under management – fogafín: Corresponds to the mortgage loan portfolio that financial entities manage for fogafín. included here is the mortgage loan portfolio corresponding to economic emergency reliefs and that handed over to fogafín in guarantee.

Note: according to the entities covered by the study of mortgage loan portfolios, banco granahorrar and banco popular are the only financial institutions covered by this measure and the loans must be in real value units– uvr.

Loan portfolio under management – special purpose vehicles: Corresponds to the mortgage loan portfolio that has been turned over to a trust as part of restructuring processes.

Note: according to the entities covered by the study of mortgage loan portfolios, banco colpatria is the only financial institution covered by this measure and the loans must be in real value units– uvr.

Loan portfolio under management – other portfolios: Corresponds to the mortgage loan portfolio that the financial institutions have sold but continue to manage.

Classification according to housing range: Corresponds to the classification of mortgage loan portfolios according to the value of the property to be financed. it can belong to the vis (low-income housing) portfolio or its value can be greater than the vis value..

Vis loan portfolio: Corresponds to low-income housing. the classification is determined by the value of the housing unit, and special interest rates and financing percentages apply here. this type of housing may be subsidized by the government.

Low-income housing (vis): Refers to the housing solutions whose value falls within the ranges established by the law. the maximum value for low-income housing is established by the ministry of the environment, housing, and territorial development. according to decree 975 of 2004, the prevailing prices expresses in legal minimum monthly salaries are the following:

family subsidy for housing-sfv: Ethe government’s contribution, whether in money or in kind, granted to the beneficiary only once in order to facilitate the acquisition, construction, or improvement of a low-income housing solution, without restitution obligations, thus contributing to the beneficiary’s savings.

Mortgage loan portfolio for non-low-income housing: mortgage loans for housing whose value is higher than that established for low-income housing at the moment of disbursement of the loan. it has special interest rates and financing percentages.

Classification of overdue payments: : Classification of payments in arrears on the basis of the number of payments overdue. the study established six levels depending o the number of overdue payments still unpaid by the client. .

Payment: The value that the client must pay periodically in order to cover the obligation. in the case of mortgage loans for housing, the payments are made on a monthly basis.

Payments in arrears:Iin arrears: The number of overdue payments still not paid by the client.

Outstanding loan portfolio: Corresponds to the sum of the capital loaned initially and the number of mortgage loans that are up to date on their payments or that are in arrears for four payments or less..

Loan portfolio in arrears: Corresponds to the sum of the capital loaned initially and the number of mortgage loans that are in arrears for five or more payments..

Number of mortgage loans: Corresponds to the number of mortgage loan obligations outstanding at the moment of the study.

Total capital balance: Refers to the balance owed by the client with respect to the capital loaned initially.

Note: Includes the adjustment due to inflation and the mortgage loans that have been granted to employees by the housing financing institutions. it does not include other items such as current interest, late-payment interest, insurance, and others, such as legal expenses, for example.

Capital with 1 or more overdue payments: The sum in arrears with respect to capital at the moment of the study (value of the overdue payments).(valor del capital de las cuotas causadas y no pagadas).

Note: Includes the adjustment due to inflation and the mortgage loans that have been granted to employees by the housing financing institutions. it does not include other items such as current interest, late-payment interest, insurance, and others, such as legal expenses, for example.

Interest rate: The average weighted rate for outstanding mortgage loans..

Note: According to law 546 of 1999 and central bank external resolution 14 of 2000, the ceiling for the interest rate for low-income housing mortgage loans is 11%. in the case of other mortgage loans (non-vis) the ceiling for interest rates is 13.92%. both of these ceilings have been maintained since the year 2000.