Article 9-1. The procedure for the assignment of rights (claims) under the contract for the provision of microcredit Law on Microfinance Activities

Home / RLA / Article 9-1. The procedure for the assignment of rights (claims) under the contract for the provision of microcredit Law on Microfinance Activities

1. Excluded by the Law of the Republic of Kazakhstan dated 06/19/2024 No. 97-VIII (effective sixty calendar days after the date of its first official publication).

2. Excluded by the Law of the Republic of Kazakhstan dated 06/19/2024 No. 97-VIII (effective sixty calendar days after the date of its first official publication).

3. Excluded by the Law of the Republic of Kazakhstan dated 06/19/2024 No. 97-VIII (effective sixty calendar days after the date of its first official publication).

4. It is prohibited for a microfinance organization to assign a right (claim) under a microcredit agreement concluded with an individual and secured by a pledge in the form of a dwelling, with the exception of assignment of a right (claim) to organizations with more than fifty percent of the shares in the authorized capital or outstanding shares owned by the state, subject to one of the following conditions:

acquisition of rights (claims) is one of the activities of such an organization provided for by the laws of the Republic of Kazakhstan.;

The acquisition of rights (claims) is carried out within the framework of state and government programs or legal acts of state bodies to support individuals.

5. It is prohibited for a microfinance organization to assign rights (claims) under a micro-loan agreement to a third party, with the exception of assignment of rights (claims) to the following persons:

a second-level bank;

collection agency;

microfinance organizations;

a special financial company established in accordance with the legislation of the Republic of Kazakhstan on project financing and securitization, in the case of a securitization transaction;

to a legal entity that holds the rights of claim under a micro–credit agreement when a microfinance organization issues secured bonds or receives loans;

to the special fund for the development of private entrepreneurship – under a micro-loan agreement concluded as part of a deal to finance private business entities by conditionally placing funds in microfinance organizations;

to another person – with respect to rights (claims) under a contract for the provision of a micro–loan to an individual borrower related to business activities, a contract for the provision of a micro–loan to a legal entity in the event that there are signs of impairment on these micro-loans at the date of assignment in accordance with international financial reporting standards.

The person specified in the eighth paragraph of the first part of this paragraph transfers to the trust management of the service company the received rights (claims) under the contract for the provision of microcredit in one of the following cases::

the rights (claims) were obtained under a contract for the provision of a micro-loan to an individual related to entrepreneurial activity;

The rights (claims) were obtained under a contract for the provision of a micro-loan to a legal entity, the amount of debt for which does not exceed 16,500 times the monthly calculation index established by the law on the republican budget on the date of assignment.;

if the person to whom the rights (claims) have been assigned under the microcredit agreement is a non-resident of the Republic of Kazakhstan.

The rights (claims) under the microcredit agreements may be transferred to the service company if the following conditions are met at the same time:

1) the amount of the authorized capital of the collection agency, the equity of the parent organization of the subsidiary of the bank, which acquires doubtful and hopeless assets of the parent bank, is not less than the minimum value established by the regulatory legal act of the authorized body;

2) carrying out activities for three years from the date of:

granting a bank or a bank holding company permission for the bank to establish a subsidiary that acquires questionable and uncollectible assets of the parent bank;

inclusion of a collection agency in the register of collection agencies;

3) as of the date of inclusion in the register of service companies, there are no outstanding and (or) effective supervisory response measures or limited impact measures applied by the authorized body and administrative penalties for administrative offenses provided for in Article 211-1 and part one of Article 227 of the Code of the Republic of Kazakhstan on Administrative Offenses.;

4) the first head of the service company has no outstanding or outstanding criminal record;

5) compliance of the service company with the requirements established by the authorized body.

The requirements for subsidiaries of the bank acquiring doubtful and uncollectible assets of the parent bank, and collection agencies acting as service companies to which the rights (claims) under microcredit agreements can be transferred to trust management, are established by a regulatory legal act of the authorized body.

The authorized body maintains and places on its Internet resource a register of service companies that comply with the requirements of the legislation of the Republic of Kazakhstan.

Exclusion of a service company from the register of service companies is the basis for termination of the trust management agreement.

In the case of transfer of rights (claims) under a micro-loan agreement to the trust management of a service company, the person specified in paragraph eight of part one of this paragraph shall exercise the rights of the creditor in respect of the right (claim) assigned to him under a micro-loan agreement under a trust management agreement concluded with the service company, or by assignment to persons specified in the first part of this paragraph.

In case of termination of the trust management agreement with the service company, the person specified in paragraph eight of part one of this paragraph is obliged to conclude a new trust management agreement with another service company or assign the rights (claims) to the persons specified in part one of this paragraph.

The requirements of this paragraph do not apply to the cases provided for in paragraph 4 of this article.

5-1. Assignment of rights (claims) under a microcredit agreement, for which there are signs of impairment at the date of assignment in accordance with international financial reporting standards, is carried out by a microfinance organization subject to the following conditions:

1) the person in whose favor the rights (claims) are being assigned under the microcredit agreement is determined based on the results of auctions in respect of these rights (claims) conducted by a microfinance organization on an electronic trading platform for the sale of banking and microfinance assets, with the exception of the assignment of rights (claims) to the persons specified in paragraphs five, six and the seventh part of the first paragraph of paragraph 5 of this Article;

2) assignment of rights (claims) under a micro-credit agreement is carried out in compliance with the restrictions and rules established in paragraph 5 of this Article.

The requirements set out in this paragraph do not apply to pawnshops.

IZPI's note!

Paragraph 5-2 was suspended until 05/01/2026 by the Law of the Republic of Kazakhstan dated 06/19/2024 No. 97-VIII and during the suspension period this paragraph is valid as follows.

5-2. It is prohibited for a microfinance organization to assign rights (claims) under a contract for the provision of a micro-loan to an individual who is not related to entrepreneurial activity to a collection agency.

6. A microfinance organization may not assign the right (claim) under a micro-loan agreement without the consent of the borrower, unless otherwise provided by the laws of the Republic of Kazakhstan or a micro-loan agreement.

6-1. A microfinance organization shall not have the right to assign the right (claim) under a contract for the provision of a micro-loan secured by a pledge of property to the persons specified in part one of paragraph 5 of this Article without an assessment of the value of the property conducted by an appraiser during the last six months prior to the assignment of the right (claim) in accordance with the Law of the Republic of Kazakhstan "On Valuation Activities in the Republic of Kazakhstan".

7. It is not allowed to assign rights (claims) under a microcredit agreement with respect to one borrower to several persons, except in cases where these rights (claims) are the subject of a securitization transaction.

8. When concluding a contract for the assignment of rights (claims) under a microcredit agreement (hereinafter referred to as the assignment agreement), a microfinance organization must:

1) prior to the conclusion of the assignment agreement, notify the borrower, an individual under a contract for the provision of a microcredit not related to business activities, of the planned assignment of the creditor's rights (claims) under the specified contract for the provision of a microcredit to a third party, as well as of the processing (transfer) of the borrower's personal data in connection with such assignment in the manner provided for in the contract on the provision of a micro-loan, as well as through information facilities that provide a microfinance organization with the opportunity to identify a client – an individual through the use of identification means provided for by the Law of the Republic of Kazakhstan "On Payments and Payment Systems" (hereinafter referred to as informatization facilities);

2) notify the borrower (or his authorized representative) of the transfer of rights (claims) under the microcredit agreement to a third party in the manner provided for in the microcredit agreement, as well as through information technology facilities, within thirty calendar days from the date of conclusion of the assignment agreement, indicating the need for further payments under the microcredit agreement to a third party (name, location and bank details of the person to whom the rights (claims) have been assigned under the microcredit agreement, or in the case of the transfer of rights (claims) under the contract for the provision of a microcredit to a trust management service company), the amount of transferred rights (claims) under the contract for the provision of a microcredit, the amount and structure of debt under the contract for the provision of a microcredit (principal debt, remuneration, commission, penalty (fine, fine) and others payable amounts;

3) transfer the following documents to the person to whom the rights (claims) have been assigned under the micro-loan agreement, or to the service company (in the case of transfer of rights (claims) under the micro-loan agreement to the service company's trust management):

microcredit agreement;

the pledge agreement and the title documents for the collateral (if the fulfillment of obligations under the microcredit agreement is secured by a pledge);

a surety or guarantee agreement (if the fulfillment of obligations under a micro-loan agreement is secured by a surety or guarantee);

calculations of the borrower's debt as of the date of assignment of rights (claims);

claim correspondence with the borrower (if any);

the constituent documents of the borrower – a legal entity, a copy of the identity document of the borrower – an individual;

documents confirming repayment of debt by the borrower;

documents on the sale of mortgaged property (if available);

other documents in accordance with the assignment agreement.

In case of assignment of all rights (claims) to the borrower, the microfinance organization transfers to the person to whom the right (claim) has been assigned under the microcredit agreement all the original documents it has, and in case of transfer of rights (claims) under the microcredit agreement to the trust management of the service company, the originals of these documents are transferred to the service company.

In case of assignment of part of the rights (claims) to the borrower, the microfinance organization has the right to keep the original documents certifying such rights (claims) and transfer to the person to whom the right (claim) has been partially assigned under the microcredit agreement, notarized copies of these documents, and in case of transfer of part of the rights (claims) under the microcredit agreement. notarized copies of the specified documents are transferred to the service company's trust management.

The microfinance organization, the person to whom the rights (claims) have been assigned under the microcredit agreement, and the service company are responsible for the loss of the originals of the title documents for the property that ensures the fulfillment of obligations under the microcredit agreement, as established by the laws of the Republic of Kazakhstan.;

4) after the conclusion of the assignment agreement, transfer the money received to repay the debt under the microcredit agreement to the bank account of the person to whom the rights (claims) have been assigned under the microcredit agreement, providing a transcript of payments in the context of each borrower.

9. A person to whom the right (claim) of a microfinance organization has been assigned under a micro-loan agreement is prohibited from assigning such a right (claim). without observing the conditions stipulated in this article.

The Law of the Republic of Kazakhstan dated November 26, 2012 No. 56-V.

This Law regulates public relations related to the provision of micro-loans, establishes the specifics of the creation and reorganization of organizations engaged in microfinance activities, the legal status, activities of organizations engaged in microfinance activities, and also defines the specifics of state regulation of organizations engaged in microfinance activities, control and supervision of their activities.

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