The situation with the provision of quick loans in the territory of Estonia.

In Estonia, the so-called Laenud, in other words SMS-credits.

In Estonia, there are a number of laws that regulate the work of such companies and organizations that provide quick loans. In 2013, changes were signed, according to which such organizations should carefully check the solvency of their customers. Today, the state regulates, among other things, the advertising of such companies, prohibiting the release of commercials that could have triggered an impulsive decision regarding the taking of a loan.

According to the latest changes, which were adopted in 2015, all loans with sky-high interest rates were declared invalid. It should be noted that all companies that provide faster loans in Estonia should have the appropriate license.

How are things in Ukraine?.

On the territory of Ukraine, companies that are engaged in the provision of fast loans, appeared not so long ago. At the same time, if we talk about compliance with these laws and companies, then from this point of view there are no questions: most of them work absolutely legitimately. But despite the legality of the activity, they cause bankruptcy of the majority of citizens who applied to them for a loan.

Unfortunately, in most cases, clients of such organizations, having inattentively read the loan agreement, become hostages of their credit. Since the contract specifies not only the exorbitant amount of interest that the borrower must pay in the event of late payment of the loan, but additional fees.

To date, such organizations can carry out their activities on the territory of Ukraine without obtaining a license, which significantly aggravates the situation.

Having considered the situation in these two countries, we can conclude that at the moment in the territory of Ukraine this type of services has just begun to develop. I want to believe that the activities of companies that provide fast loans will be regulated at the legislative level.