Uzbekistan: Obtaining a loan in an individual's name without their consent will become more challenging.
Uzbekistan: It Will Be Harder to Obtain a Loan in Someone's Name Without Their Consent
The Legislative Chamber of the Republic of Uzbekistan has approved a bill in its first reading that significantly tightens the rules for issuing loans, according to a statement from the Central Bank's press service.
The aim is to protect citizens from fraudulent schemes where loans are taken out in their names without their knowledge. The new law includes the establishment of a registry of individuals prohibited from obtaining loans without their consent.
Citizens will be able to submit applications to credit bureaus themselves, blocking the possibility of loans being issued in their names. This, similar to an initiative in Kazakhstan, is intended to enhance transparency and security in the lending market.
The successful experience of neighboring Kazakhstan, where over 855,000 citizens in 2024 utilized the "Stop-Credit" service to protect themselves from fraudulent loans, confirms the effectiveness of such measures. Now, Kazakh banks are required to annul fraudulently issued loans if the borrower has activated the "Stop-Credit" service.