Borrowing guides & glossary
The concepts every loan page refers to — Euribor, APR, LTV, state guarantees, affordability rules and your consumer rights — explained in plain language, without jargon and without sales pitch.
What is Euribor? The rate behind your loan payment
Euribor (Euro Interbank Offered Rate) is the benchmark interest rate at which European banks lend to each other, used as the reference rate for most variable-rate loans in the eurozone.
Read the guide →APR / KKMAPR and KKM explained: the only fair way to compare loans
The annual percentage rate of charge (APRC; Estonian: krediidi kulukuse määr, KKM) expresses the total yearly cost of a loan — interest plus all mandatory fees — as a single percentage.
Read the guide →LTVLTV and the down payment: how much house your money buys
Loan-to-value (LTV) is the ratio between a loan and the value of the asset securing it. In Estonian mortgage lending, the standard cap is 85% — implying a 15% down payment.
Read the guide →KredExThe KredEx guarantee: buying a home with a smaller deposit
The KredEx housing loan guarantee is an Estonian state-backed surety that lets eligible buyers — typically first-home buyers and young families — take a mortgage with a smaller down payment.
Read the guide →DSTIDSTI: the affordability rule that sizes your loan
Debt-service-to-income (DSTI) is the share of your net monthly income consumed by loan payments. Estonian banks must keep new mortgage borrowers under a DSTI limit set by Eesti Pank.
Read the guide →14-day rightThe 14-day withdrawal right: cancelling a loan you just signed
EU consumer credit law gives borrowers a 14-day right of withdrawal: a consumer credit agreement can be cancelled within 14 days of signing, repaying principal plus accrued interest, without penalty.
Read the guide →Ready to put it into practice?
Compare live loan offers from 50+ Nordic & Baltic banks — free, no credit check.