Am I allowed to take a payday loan in Sweden?
Yes — you may take a payday loan from age 18, but the rules are heavily tightened. Since 1 March 2025 the rate cap is the reference rate + 20 percentage points, cut from 40, and the caps now cover almost all consumer credit — not just the classic text-message loans. On top of that sits a cost cap: interest and fees together can never exceed the loan amount, so if you borrow 10,000 kr you can repay at most 20,000 kr. The lender must run a credit assessment for every single loan, and you have a 14-day right of withdrawal, repaying within 30 days. The exceptions matter: mortgages and interest-free credits and invoices are not covered by the rate cap. A new Consumer Credit Act takes effect on 20 November 2026.
📋 The rules
- Minimum age 18 and a mandatory credit assessment
- Rate cap: reference rate + 20 points (since 1 March 2025)
- Cost cap: interest + fees can never exceed the loan amount
- 14-day right of withdrawal, repay within 30 days
- The caps now cover almost all consumer credit
🔓 Exceptions
- Mortgages are not covered by the rate cap
- Interest-free credits and invoices are exempt from the rate cap
- A new Consumer Credit Act takes effect on 20 November 2026
⚠️ Penalties & fines
The penalty hits the lender, not you. A company that breaches the rules can face a sanction charge of at least 5,000 kr and at most 10 million kr, though never more than 10% of the previous year's turnover, plus a warning or a prohibition on continuing — the supervisory authority can shut improper lending down entirely. For you the protection is practical rather than criminal: the cost cap means interest and fees can never exceed the loan amount. But the rate cap does not cover everything — mortgages and interest-free credits and invoices sit outside it.
📎 Official sources
- Hallå konsument · Consumer Credit Act →
- Consumer Agency · Consumer Credit Act →
- Consumer Credit Act (2010:1846) · Riksdagen →
❓ Frequently asked
How high can the interest on a payday loan be?
The rate cap is the reference rate plus 20 percentage points since 1 March 2025, cut from the previous 40 points. The cap now covers almost all consumer credit, but not mortgages and not interest-free credits.
Can the cost be unlimited?
No. Interest and fees together can never exceed the loan amount itself, so a loan of 10,000 kr can cost at most 10,000 kr extra. In total you therefore repay no more than 20,000 kr.
How old must I be to borrow?
18 is the age limit, and the lender must also run a credit assessment for every single loan. The requirement applies each time, so an earlier approval gives you no automatic right to the next loan.
Do I have a right of withdrawal on a loan?
Yes, you have a 14-day right of withdrawal. If you use it, the loan must be repaid within 30 days, and that rule is what lets you back out of a rushed loan instead of being stuck with it.
What applies from late 2026?
A brand-new Consumer Credit Act takes effect on 20 November 2026. It keeps the rate and cost caps but tightens the requirements on credit assessment and on how credit may be marketed, so the terms get stricter rather than cheaper.
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