(10)Before the 2008 financial crisis, some securitisation activities followed an ‘originate to distribute’ model. In that model, assets of inferior quality were selected for securitisation to the detriment of investors, who ended up with more risk then they might have intended to undertake. The requirement to verify the credit granting standards used in the creation of securitised assets was introduced to prevent such practices in the future. For NPE securitisations, however, the credit granting standards applicable at the origination of the securitised assets are of minor importance due to the specific circumstances including the purchase of those non-performing assets and the type of securitisation. Instead, the application of sound standards in the selection and pricing of the exposures is a more important factor with respect to investments in NPE securitisations. It is therefore necessary to amend the verification of credit granting standards to enable the investor to carry out a due diligence on the quality and performance of the non-performing assets in order to make a sensible and well-informed investment decision, while ensuring that the derogation is not abused. Therefore, for NPE securitisation, the competent authorities should review the application of sound standards for selection and pricing of the exposures.