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РусскийLoan cost caps in Europe: how each country limits the price of credit
A loan that is legal in one European country can be forbidden in the next one. Some states put a ceiling on the annual rate, others limit the cost per day or the total amount you can be charged, and some have no fixed limit at all. AllCredits has catalogued lenders in Latvia and across Europe since 2013, and this page brings together the rules of all 23 countries in our catalogue: the local name of the APR, the legal cap, the supervisor and the credit register lenders consult. The rules were last checked in November 2026.
Legal caps in 23 countries
| Country | APR is called | What the law limits | Supervisor | Credit register |
|---|---|---|---|---|
| Latvia | GPL | All credit costs together: at most 0.07 % of the loan a day | Latvijas Banka, PTAC | Latvijas Banka Credit Register, private bureaus |
| Lithuania | BVKKMN | Total cost of credit cannot be higher than the loan itself; late penalties for 180 days at most | Bank of Lithuania | Loan Risk Database, Creditinfo |
| Estonia | KKM | An APR over three times the market average is presumed to be against good morals | Finantsinspektsioon | Creditinfo default register |
| Finland | Todellinen vuosikorko | Nominal interest up to the reference rate + 15 pp (20 % at most); other costs 0.01 % a day, €150 a year at most | FIN-FSA, Consumer Ombudsman | Positive credit register |
| Sweden | Effektiv ränta | Interest up to the reference rate + 20 pp; costs never above the amount borrowed | Finansinspektionen | UC |
| Norway | Effektiv rente | No legal rate cap; total debt generally limited to five times annual income | Finanstilsynet | Gjeldsregisteret |
| Denmark | ÅOP | ÅOP of 35 % at most; costs never above the amount borrowed | Finanstilsynet | RKI, Debitor Registret |
| United Kingdom | APR | Short-term credit only: 0.8 % a day, total cost no higher than the loan, £15 default fee | FCA | Experian, Equifax, TransUnion |
| France | TAEG | Usury rate (taux d’usure) published quarterly by Banque de France for each loan type | ACPR | FICP |
| Netherlands | JKP | Statutory interest rate + 8 pp, which is 12 % a year in 2026 | AFM | BKR |
| Switzerland | Effektiver Jahreszins | Fixed yearly by the Federal Council: 10 % for cash loans, 12 % for cards and overdrafts in 2026 | FINMA, cantons | ZEK, IKO |
| Austria | Effektiver Jahreszins | No fixed cap; the courts apply usury rules | FMA | KSV1870 |
| Germany | Effektiver Jahreszins | No fixed cap; courts consider about twice the market rate to be against good morals | BaFin | SCHUFA |
| Spain | TAE | No fixed cap; the Usury Act is applied by the courts | Banco de España | CIRBE, ASNEF |
| Italy | TAEG | Usury threshold (tasso soglia) published quarterly for each loan type | Banca d’Italia | Centrale Rischi, CRIF |
| Croatia | EKS | EKS up to the statutory default interest + 2 pp | HNB | HROK |
| Poland | RRSO | Interest up to 2 × (NBP reference rate + 3.5 pp); non-interest costs up to 10 % + 10 % a year, 45 % at most | KNF, UOKiK | BIK |
| Czech Republic | RPSN | No fixed cap; courts cancel grossly overpriced loans | ČNB | BRKI, NRKI, SOLUS |
| Bulgaria | ГПР | Up to five times the statutory interest rate | BNB | Central Credit Register |
| Romania | DAE | Up to the NBR lending facility rate + 27 pp; small loans 0.6–1 % a day, repayment at most twice the loan | BNR | Biroul de Credit, CRC |
| Moldova | DAE | Interest 50 % a year at most; other costs 0.04 % a day at most | NBM, CNPF | Biroul de Istorii de Credit |
| Ukraine | РРПС | Average daily rate up to 1 %; late penalties limited | NBU | NBU Credit Register, private bureaus |
| Kazakhstan | ГЭСВ | 46 % for unsecured loans and microcredits; microcredits up to 45 days under 0.3 % a day, 179 % at most | ARDFM | First Credit Bureau, State Credit Bureau |
Latvia compared with its neighbours
Latvia limits the cost of credit per day rather than per year: everything the borrower pays on top of the loan, interest and fees together, may not exceed 0.07 % of the amount for each day. Kept for a full year, that comes to roughly a quarter of the sum borrowed. Lithuania sets a different kind of ceiling: whatever the term, the total cost may never be higher than the loan itself. Estonia has no fixed number at all; instead, a court presumes that an APR more than three times the market average is against good morals. All three countries also require lenders to check a borrower’s income and debts before lending.
Three ways to limit the cost
A cap on the annual rate. The Netherlands, Switzerland, Finland, Denmark and France set a maximum yearly rate, so the APR of a legal loan stays within ordinary bank levels. A cap per day or on the total. Latvia, Lithuania, the United Kingdom, Romania and Ukraine limit daily or total costs; a short loan can then show an APR in the hundreds while staying legal, so the total amount to repay is the better guide, as explained in How much does a loan cost? No fixed cap. In Germany, Austria, Spain, the Czech Republic and Norway, only a court can reduce an overpriced loan after it has been signed.
Our advice
Before borrowing in any country, find out which of these three systems applies there, then compare offers by the annual percentage rate and the total amount to repay. A legal cap protects you from extreme prices, but it does not make a loan cheap: borrow only what your regular income can cover. Country rules, lender cards and borrower rights are on each country page of the catalogue.
Important information
The limits apply to consumer credit; mortgages, business loans and contracts signed before a rule changed are often treated differently. Several caps are tied to a central bank or statutory rate and are updated during the year, and the new EU consumer credit rules (directive 2023/2225) apply from 20 November 2026. This page is an overview for comparison, not legal advice; confirm current rules with the national supervisor before you sign. AllCredits is a catalogue and does not lend money. Last checked: November 2026.
