The Riigikogu passed the Act on Amendments to the Advertising Act (780 SE), initiated by the Government, with 58 votes in favour (15 against, 2 abstentions).
It provides for a stricter regulation concerning the advertising of consumer credit. The Act restricts information published in advertisements of consumer credit, including payment by instalments, leasing, housing loans and consumer loans. In the future, consumer credit advertisements can include only the essential information set out in legislation, such as the name of the service provider and the number of their business licence, the contact details of their place of business, an example of the annual percentage rate, a reminder to read the terms and conditions of the financial service, the term of repayment, and other similar information. The purpose of the amendments is to reduce the frequency of borrowing decisions based on a moment’s emotion, without sufficient consideration or understanding the loan conditions.
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