What is credit line suitable for?
Credit line is a convenient option to constantly keep extra money at hand. Therefore, it is an ideal solution to cover
unexpected major expenses. It is also a good solution for those, who are planning to spend more on various activities, for
example, repair work, construction, etc.
Credit line is available on a separate credit account, which means that you can make transfers directly from the credit line
account. You can also transfer the necessary amount from the credit line account to your daily bank account. This enables
you to withdraw credit line in cash and also use it for card payments.
You can make repayments to the credit line account at a time and in the amount of your choice. This way, you pay less
interest and can use the money again.
Regular price list of bank transactions applies to these transactions.
Terms and conditions for receiving credit line
All adult Estonian citizens or persons staying in Estonia on the basis of a permanent or temporary residence permit, whose
average monthly net income in the last half year has been at least € 500 and it has been regularly received to their bank
account, may apply for credit line.
If you are not a Swedbank client or your income is not transferred to Swedbank, we kindly request you to submit a bank
statement of your income over the last 6 months to apply for credit line.
Interest and charge arising from obligations
The interest rate of credit line is 13–22%. The final interest rate depends on the amount, the borrower’s obligations and
solvency. Interest has to be paid only for the days you actually use the money.
Charge arising from obligations is similar to monthly fee, amounting to only 1.2% per year and it is calculated from the
unused amount of loan.
The agreement fee is 1.5% of the credit limit, a minimum of € 35.
If you have been following your contractual duties for a year and the ratio of your obligations and income is in accordance
with the bank’s conditions, the credit line agreement shall automatically extend for another year according to the terms and
price list valid at the moment of extension. This happens according to the terms and conditions and price list valid at the
moment of extension. The bank will inform you about the terms and conditions for extending the credit limit. Upon automatic
extension of credit line, the repayment period is also extended.
The bank informs the clients personally about the extension of overdraft agreements that have been entered into before 2
March 2015. Upon automatic extension, the standard terms and conditions valid at the moment of extension apply.