Continent-wide stress tests are on their way, and the banking world had better be ready. Analysts at Morgan Stanley have put together a handy checklist for the financial system to bear in mind what might happen when the European Banking Authority, the banking regulator of the European Union, sorts the wheat from the chaff.

The eurozone is moving towards a US version of capital injections and stress tests, otherwise known as the Troubled Asset Relief Program, that in effect halted the US banking crisis back in late 2008 and 2009. In a note on Monday, Morgan Stanley analysts issued the following points to consider: