Bankruptcy of Individuals
The Law "On Restoration of Solvency and Bankruptcy of Citizens of the Republic of Kazakhstan" has entered into force in March 2023.
Everyone has the right to apply for bankruptcy. But before doing so, the Debtor needs to make sure that the Debtor:
- Failed to make payments on all loans for 12 months
- Received the bank's refusal to settle the overdue debt
If the overdue debt settlement procedure has not been initiated, it must be carried out in one of the following ways:
1. Apply to the Problem Loan Management subdivisions (the list of addresses below) on all issues related to overdue debt settlement, including write an application for settlement and (or) collection of outstanding obligations under the Bank Loan Contract.
2. Apply for settlement - loan restructuring (deferral, extension, etc.) in the following BCC.KZ section -> Private Customers -> Loans -> Applications on existing loans for Individuals -> Loan Term Modification -> Loan Term Reduction.
If settlement is denied, the Debtor may apply to the authorized body to declare it bankrupt.
If you have any questions, please call 505
No. | Branch | Region | Branch address |
1 | Pavlodar | East | 156/1 Academician Satpayev Str. |
2 | Ust-Kamenogorsk | East | 50 Maxim Gorky Str., Problem Loan Management Unit |
3 | Semey | East | 99v Abay Str., 2nd floor |
4 | Ekibastuz | East | 51a Auezov Str., 2nd floor, room 23 |
5 | Aktau | West | 26 micro-district, bld. 16 , 3d floor |
6 | Aktobe | West | 45 A. Moldagulova Ave. |
7 | Atyrau | West | 113 Kulmanov Str., Zheruiyk Business Center |
8 | Uralsk | West | 27/2 Mukhit Str., room 204 |
9 | Nur-Sultan | North | 16/1 Tauelsizdik Ave. |
10 | Kostanay | North | 125 Gogol Str. |
11 | Petropavlovsk | North | 166 Altynsarin Str. |
12 | Karaganda | North | 5 Alikhanov Str. |
13 | Karaganda/Temirtau | North | 8 Metalurgov Ave., 1st floor, Temirtau |
15 | Kokshetau | North | 142-u Abay Str., 2nd floor |
16 | Almaty City Branch | South | 98 Panfilov Str., 3d floor, room 303 |
17 | Kyzylorda | South | 46 Tokmagambetov Str., 1st floor, room No.+A25:A281 |
18 | Taraz | South | 182 Kazybek Bi Str., 3 floor, room 10 |
19 | Taldykorgan | South | 68 Nazarbayev Ave., 1st floor |
20 | Shymkent | South | 32A Askarov Str., 1st floor, common room |
Out-of-Court | Bankruptcy | Solvency Restoration |
|
| Value of the debtor's assets exceeds the amount of all liabilities
|
Carried out by the Authorized Body | Carried out by the Financial Receiver | |
The debtor only can apply for bankruptcy
If the debtor has property and the debt is up to 1,600 MCIs, the debtor shall apply for bankruptcy through the court
If the debt is 5 years overdue, no settlement is required.
(applicable to debts owed to second-tier banks, microcredit organizations and collectors)
CONDITIONS:
1. No property, including jointly owned property
2. Overdue debt settlement with the Bank.
Measures for debt settlement and (or) collection must be taken within a period not exceeding eighteen months following the occurrence of overdue debts.
3. No bankruptcy has been applied for 7 years
4. There has been no repayment of liabilities to creditors for twelve consecutive months as of the application date
5. The debtor may submit an application if he/she is a recipient of the state targeted social assistance for six months preceding the date of application.
Category of Citizens | Outstanding Amount | Absence of Payments | Procedure Duration |
All citizens | Up to KZT 5,520 ths. (1,600 MCIs) | Consecutive 12 months | 6 months |
Regardless of the amount outstanding | More than 5 years |
CONDITIONS:
1. Overdue debt settlement with the Bank.
Measures for debt settlement and (or) collection must be taken within a period not exceeding eighteen months following the occurrence of overdue debts
2. No bankruptcy has been applied for 7 years
3. There has been no repayment of liabilities to creditors for twelve consecutive months as of the application date
Outstanding Amount | Types of Debt | Absence of Payments | Procedure Duration |
Over KZT 5,520 ths | All types of debt | 12 months | 6 months, with the option to extend for 6 months |
1. A debtor, whose amount of total obligations (including unmatured obligations) does not exceed the value of owned property, may apply to the court only with an application for solvency restoration
2. The solvency restoration plan may be executed ahead of schedule.
3. The solvency restoration plan shall provide for one or more of the following instruments:
1) change of the deadline for fulfilling the obligations (deferral and (or) payment of indebtedness by installments);
2) cancellation of debt or its part, including forfeit (fine, penalty);
3) lowering the interest rate charged for loan use;
4) reduction of the amount of regular current payments with simultaneous extension of the total term of the Loan Contract;
5) change in the method of fulfilling the obligation;
6) satisfaction of the secured creditor's claims by transferring the collateralized item, provided that the secured creditor cancels the obligations under the Loan Contract;
7) other instruments not provided for by this paragraph.
4. The solvency restoration plan may include the following measures:
1) sale of the part of property;
2) lease of property for hire (rent);
3) collection of receivables;
4) exchange of housing (vehicles) for housing (motor vehicles) of a lower value;
5) sale of housing (vehicles) with subsequent purchase of housing (vehicles) of a lower value;
6) employment of the debtor;
7) other measures not contradicting the legislation of the Republic of Kazakhstan.
5. The draft solvency restoration plan shall be submitted for consideration to creditors whose claims are included in the creditors' register. Creditors shall make proposals and comments within ten business days from the date of receipt of the draft solvency restoration plan.
5.1. Submission of proposals and (or) comments later than the specified term shall be equivalent to the creditor's lack of any proposals and comments.
Based on the results of the Out-of-Court Bankruptcy and Bankruptcy through the Court
Consequences
A 5-year ban to receive loans from banks and microfinance organizations (except pawnshops)
Repeated bankruptcy is possible after 7 years
Financial standing monitoring for 3 years after bankruptcy
No debts are written off
For payment of alimony
For compensation of damage caused to life or health
Compensation of damages for criminal offences, as well as payments to the budget collected by a court decision