Article 6-1. Features of debt settlement by a collection agency when exercising its creditor's rights resulting from the assignment of the right (claim) of debt under the Law on Collection Activities

Home / RLA / Article 6-1. Features of debt settlement by a collection agency when exercising its creditor's rights resulting from the assignment of the right (claim) of debt under the Law on Collection Activities

1. The collection agency, when the creditor assigns to it the right (claim) for debts, including those collected by a court decision or on the basis of a notary's executive inscription, informs the debtor – an individual and (or) his representative of their (his) right to apply to the collection agency with a written application and (or) through information facilities on changing the terms of fulfillment of obligations under a bank loan agreement or a micro-loan agreement.

The debtor – an individual and (or) his representative, at any time after the date of their (his) notification of the assignment of the right (claim) for debt, has the right to apply in writing and (or) through information technology facilities to a collection agency for a change in the terms of performance of obligations under a bank loan agreement or a micro-loan agreement, which states the reasons for the debt, information about income and expenses, the composition (members) of the family, place of residence, property, and other information, confirming the circumstances (facts) of his application to the collection agency for a change in the terms of performance of obligations under a bank loan agreement or a micro-loan agreement, including those related to:

1) deferral or installment payments on the principal debt and (or) remuneration;

2) changing the order of debt repayment, including repayment of the principal debt as a matter of priority;

3) changing the term of a bank loan or micro-loan;

4) a change in the direction of reduction or complete cancellation of the penalty (fine, fine);

5) modification or complete cancellation of commissions and other payments related to servicing a bank loan;

6) full or partial forgiveness of the principal debt and (or) remuneration;

7) independent sale by the mortgagor of the immovable property that is the subject of the mortgage, within the time limits established by the agreement of the parties;

8) submission of compensation in return for the fulfillment of the obligation by transferring the pledged property to the collection agency;

9) the sale of real estate, which is the subject of a mortgage, with the transfer of obligations to the buyer.

2. The collection agency, within fifteen calendar days after the date of receipt of the debtor's application, reviews the proposed changes to the terms of performance of obligations under a bank loan agreement or a micro-loan agreement and informs the debtor and (or) his representative in writing and (or) through information facilities about:

1) agreeing to the proposed changes to the terms of performance of obligations under a bank loan agreement or a micro-loan agreement;

2) counter-proposals to change the terms of fulfillment of obligations under a bank loan agreement or a micro-loan agreement;

3) refusal to change the terms of performance of an obligation under a bank loan agreement or a micro-loan agreement, indicating a reasoned justification for the reasons for such refusal.

The collection agency is obliged to provide, under a bank loan agreement and (or) a micro-loan agreement for conscripts, deferred payment of the principal debt and remuneration for a period including the duration of military service and 60 days after its completion, without accrual of remuneration for the loan in accordance with the procedure determined by the authorized body.

Information about conscripted military personnel, as well as their dismissal, the presence or absence of a bank loan and (or) a micro-loan, and the provision of deferred payment for it are transmitted through the interaction of information systems of government agencies and collection agencies in accordance with the procedure determined by the authorized body in coordination with the Ministry of Defense of the Republic of Kazakhstan.

In the cases provided for in part three of this paragraph, the collection, processing and use of personal data are carried out in accordance with the legislation of the Republic of Kazakhstan.

Failure to reach a mutually acceptable solution between the collection agency and the borrower, an individual, within fifteen calendar days from the date of receipt of the collection agency's decision provided for in subparagraph 2) in the first part of this paragraph, it is considered a refusal to change the terms of fulfillment of obligations under a bank loan agreement or a micro-loan agreement.

3. The debtor is an individual within fifteen calendar days from the date of receipt of the decision of the collection agency provided for in subparagraph 3) of paragraph one of paragraph 2 of this Article, or if a mutually acceptable decision is not reached to change the terms of performance of obligations under a bank loan agreement or a micro–loan agreement within the period provided for in paragraph five of paragraph 2 of this article, has the right to apply to the banking and (or) microfinance ombudsman with simultaneous notification of the collection agency.

The banking and (or) microfinance ombudsmen consider the individual debtor's application upon presentation of evidence of his application to the collection agency and failure to reach a mutually acceptable decision with the collection agency on changing the terms of the bank loan agreement or the microcredit agreement.

During the period of consideration by the banking and (or) microfinance ombudsmen of the treatment of the debtor – an individual belonging to socially vulnerable segments of the population in accordance with the Law of the Republic of Kazakhstan "On Housing Relations", under a mortgage housing loan (mortgage loan) agreement or under a contract for the provision of a micro-loan secured by a mortgage of real estate, which is housing, not connected with the implementation of entrepreneurial activities, foreclosure on mortgaged property by filing a lawsuit in court or out of court is not allowed.

The Law of the Republic of Kazakhstan dated May 6, 2017 No. 62-VI.

This Law regulates public relations related to the implementation of collection activities, establishes the specifics of the creation and operation of collection agencies, and also defines the specifics of state regulation of collection agencies and control over their activities.

President

Republic of Kazakhstan

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