Laenujärelevalve

Laenujärelevalve refers to the regulation and supervision of lending activities to ensure the soundness of financial institutions, protect consumers, and maintain financial stability. In Estonia, laenujärelevalve is carried out by the Financial Supervisory Authority (Finantsinspektsioon) in accordance with national legislation and EU directives. The term also covers supervision of non-bank lenders such as consumer credit providers and fintech lenders that extend credit to individuals or businesses.

The key objectives are to ensure lenders have adequate capital and liquidity, robust governance and risk management, reliable internal controls and data reporting, and compliance with advertising, disclosures, and customer treatment requirements. Supervisory work combines off-site monitoring using regular reporting and risk assessments with on-site inspections and enforcement when necessary.

Licensing is a fundamental component; lenders must meet authorized activity criteria and ongoing fit-and-proper standards. Supervisors impose requirements on capital adequacy, liquidity, loan underwriting policies, provisioning for credit losses, and anti-money laundering/know-your-customer procedures. They also oversee market conduct, including clear pricing, transparent terms, and responsible lending to avoid over-indebtedness.

The regulatory framework is shaped by EU consumer credit directive and cross-border supervision under EU regulations, with national authorities coordinating with other financial regulators. In practice, laenujärelevalve adapts to technological changes, such as digital platforms and peer-to-peer lending, emphasizing data security and consumer protection.