According to him, “the compliance of the reported data with reality can only be established during a scheduled inspection when we verify each pawn ticket.”
As an example, Ashimzhan uulu cited a situation where a pawnshop reported one amount of loans, but the inspection revealed that the actual volume was significantly higher, leading to the provision of misleading information.
According to licensing legislation, in the event of such violations, financial oversight has the right to suspend the pawnshop's operations for up to 90 days and impose a fine. After the violations are rectified and correct data is submitted, operations may be resumed. In the case of repeated violations, the license may be revoked.
Suyorkul Ashimzhan uulu also noted that many citizens sign pawn tickets and contracts without familiarizing themselves with their contents.
The specialist emphasized that when receiving a loan, the client leaves a pledge with the pawnshop—whether it be gold, equipment, or other movable property—after which a contract is signed and a pawn ticket is issued. The law allows the loan term to vary from 30 days to one year.
“If the borrower does not manage to return the loan on time, the pawnshop is obliged to provide an additional grace period of 30 days. During this time, interest may be accrued, but the sale of the pledged property is prohibited,” he added.
The right to sell the pledge arises only after the main loan term and the grace period have expired, and only in accordance with the law. The direct sale of property at the end of the contract term is illegal,” the specialist explained.
According to him, in practice, it is not uncommon for property to be sold on the 31st day after the main loan term has ended, and citizens often do not file complaints, unaware of their rights.
Furthermore, before selling the pledge, the pawnshop is required to notify the client of its intention to sell the property. Only by complying with all these conditions are the actions of the pawnshop considered legal.
