A client applying for a loan at a bank may face a rejection. Why is a loan not approved? One of the key reasons is a poor credit history. This term refers to all records about how a borrower fulfilled previous loan obligations: how many loans they took out and for what amounts, whether they made payments on time, and if they had any debts. Based on this information, the bank decides whether the client is trustworthy and can be expected to repay the loan.
Each financial institution has its own definition of a "bad" credit history. One bank may consider too many loans as a red flag, even without delays. Another may focus only on overdue payments. A third may "forgive" a single late payment altogether.
So how can you improve your credit history in Kazakhstan? How often does it update? How can you check your credit history?
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All matters related to credit history are handled by specialized agencies: the State Credit Bureau (GKB) and the First Credit Bureau (FCB). Data is stored for 5 years and regularly updated. Updates are based on information provided by financial institutions and other agencies. There is no way to "reset" or delete a credit history — you cannot erase or alter the data.
The only effective way to restore your credit history is to fulfill all obligations on new credit products.
Keep in mind that credit quality is affected not only by overdue payments (especially those over 90 days). Banks also pay attention to unpaid utility bills, taxes, and fines. They may also be wary if a client is bankrupt, but the bank has no confirmation of this status. False or missing data is seen as dishonest behavior.
Not every late payment leaves a permanent mark on your credit history. The bureaus may “rehabilitate” a borrower if:
To raise your credit score, consider the following steps:
Though rare, credit histories can be affected by system errors. For example, a loan that was repaid might still show as unpaid. Or a corrected late payment may not have been updated. Sometimes, personal data is incorrect. These issues often stem from technical errors or even fraud.
To minimize the risk, you should monitor your credit reports. How?
If you spot an error, you can submit a complaint to the bureau. They’ll verify the data, contact the source, and run a check — this service is free.
If the mistake was made by the bank or financial institution, they’ll make corrections and send them to the bureau within 10 business days. If the error was caused by the bureau itself, they’ll fix it and send you the updated report.
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Often, credit report errors are caused by delays in data updates. It helps to know when updates usually happen :
Getting a loan with a bad credit history is almost impossible. And Kazakhstan has no legal procedure to erase your record. The only way to rebuild trust is to fulfill your obligations consistently and on time. This increases your chances of qualifying for larger loans in the future.
This article has been translated from its original language using neural network-based translation technology.
