If a microfinance organization in Kazakhstan loses its license, the loans it issued are not automatically written off. Here is how borrowers should repay their debts in that case, according to infohub.kz.

It happens that a microfinance organization loses its license to operate. However, as the Agency of the Republic of Kazakhstan for Regulation and Development of the Financial Market notes, the liquidation or bankruptcy of a microfinance organization does not mean that the loans it issued are automatically written off.

As with banks, borrowers are still obliged to repay the money they received and pay the interest.

The repayment procedure depends on whether the rights of claim were transferred to another creditor.

If the rights of claim were not transferred, the borrower continues to repay the debt under the terms of the agreement and to the payment details specified in it.

If the debt was transferred to another financial organization or a collection agency and the payment details have changed, the borrower must be properly notified of the change of creditor and the procedure for repaying the debt.

To avoid problems, borrowers should not stop making payments simply because they have heard that a microfinance organization has closed or had its license revoked. Before making a payment, they should check who holds the rights of claim and which payment details are current.

A microfinance organization's license may be suspended or revoked for systematic violations of the law, as well as for failure to comply with prudential and other standards.

As of September 1, 2026, 217 microfinance organizations were operating in Kazakhstan. Since the start of the year, licenses have been revoked from 8 microfinance organizations, and the licenses of two more have been suspended.

Therefore, before taking out a microloan, borrowers should make sure the organization holds a valid license to carry out microfinance activity. Its validity can be checked in the official register.

It is also worth noting that if problems, disputes or conflicts arise with a microfinance organization, Kazakh citizens can seek help from the microfinance ombudsman. The ombudsman's services are free for citizens, and its decisions are binding.

Earlier, we explained whether the entire loan must be repaid immediately if the bank that issued it loses its license.