Settlement of Overdue Debt and the Bank's Measures in Case of Non-Performance of Obligations

If the borrower is an individual, they have the right, within 30 (thirty) calendar days from the date the payment obligation under the Bank Loan Agreement (hereinafter referred to as the Agreement) becomes overdue, to visit the Bank and/or submit an application in writing and/or by any other method предусмотренный Agreement. The application shall contain information regarding the reasons for the overdue payment, the borrower's income, and other documented circumstances (facts) supporting the request to amend the terms of the Agreement in accordance with Paragraph 2 of Article 61 of the Law of the Republic of Kazakhstan "On Banks and Banking Activity in the Republic of Kazakhstan" (hereinafter referred to as the Banking Law).

Within 15 (fifteen) calendar days after receiving the application submitted by the individual borrower pursuant to Paragraph 2 of Article 61 of the Banking Law, the Bank shall review the proposed amendments to the Agreement and notify the borrower in writing, using the method specified in the Agreement and through digital communication channels, of one of the following decisions:

• approval of the proposed amendments to the Agreement;
• the Bank's own proposals for amending the Agreement;
• refusal to amend the Agreement, including a reasoned justification for such refusal.

If the Bank refuses to amend the Agreement or if the parties fail to reach a mutually acceptable solution regarding the amendment of the Agreement, the individual borrower has the right to apply to the Banking Ombudsman within 15 (fifteen) days from the date of receipt of such decision.

If the borrower fails to satisfy the Bank's demand for payment under the Agreement, including repayment of overdue debt, the Bank, in accordance with Paragraph 10 of Article 61 of the Banking Law, is entitled to collect funds from the borrower's bank accounts without dispute, including by issuing a payment demand, provided that such collection is stipulated in the Agreement and subject to the restrictions established by the Banking Law.

If the borrower fails to satisfy the Bank's payment demand under the Agreement, including overdue debt, or if the individual borrower fails to exercise the rights provided for in Paragraph 2 of Article 61 of the Banking Law, or if no agreement is reached between the Bank and the borrower regarding amendments to the Agreement, the Bank, pursuant to Paragraph 11 of Article 61 of the Banking Law, shall be entitled to apply the measures provided for by the legislation of the Republic of Kazakhstan and/or the Agreement, including, but not limited to:

• transferring the debt for pre-trial collection and settlement to a collection agency (where such right is provided for in the Agreement);
• assigning the rights (claims) under the Agreement to a person specified in Paragraph 1 of Article 63 of the Banking Law;
• filing a claim with the court for recovery of the outstanding debt under the Agreement;
• foreclosing on pledged property through an out-of-court procedure, except in cases provided for by the Law of the Republic of Kazakhstan "On Mortgage of Immovable Property", or through judicial proceedings.

The Bank shall approve the proposed amendments to the terms of the Bank Loan Agreement for a period of at least three months without requiring payment of commissions or other fees under the Agreement when an individual borrower submits an application to amend the Agreement pursuant to Subparagraphs 2) and/or 4) of Paragraph 2 of Article 61 of the Banking Law, provided that the borrower:

• belongs to socially vulnerable groups of the population in accordance with the Law of the Republic of Kazakhstan "On Housing Relations"; or
• has suffered as a result of circumstances that served as the basis for the declaration of a state of emergency.

The decision to approve amendments to the Bank Loan Agreement concluded with an individual borrower referred to in Subparagraph 1) of Part One of Paragraph 4 of Article 61 of the Banking Law shall be made provided that:

• the borrower's average monthly income calculated for the two months preceding the month of application has decreased by more than thirty percent compared to the average monthly income calculated for the twelve months preceding the month of application; or
• the borrower has been granted targeted social assistance.