I think the disconnect in strictness here comes from the fact that in NA with EME Tera was rated M, while in Europe it's rated PEGI 12.
What's baffling is that like RoseNA said, there are some really offensive terms that are not censored and available to use as names. Why even have a language filter when words like that aren't censored while words like "cracker" (discovered that one a couple days ago) are.