Unclaimed amounts of guarantee compensation will be transferred to accounts for voluntary pension contributions
From May 1, 2021, the norms of the Law of the Republic of Kazakhstan "On Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan on the Restoration of Economic Growth", regulating the procedure for the transfer by the Kazakhstan Deposit Guarantee Fund (KDGF) of unclaimed amounts of guarantee compensation during the year to the UAPF, will come into force for crediting to individual pension accounts (IPA) for accounting for voluntary pension contributions (VPC).
If a depositor in a bank that was a member of the mandatory deposit guarantee system and which was deprived of a license to conduct all banking operations, did not apply to the KDGF within one year from the date of the start of the payment of the guarantee compensation, the KDGF will transfer the unclaimed amount of the guarantee compensation to the UAPF to credit them on IPA to account for VPC.
This applies to new insured events (bank license deprivation) that occurred after May 1, 2021, and will also apply to bank depositors for which payments are already underway - for them, the guarantee compensation payment period will last until May 1, 2022.
In addition, from May 1 of the current year, the basis for the automatic (non-declarative) opening of the IPA for accounting for the VPC will be the primary received by the UAPF:
- voluntary pension contribution from a contributor-individual in his favor at the expense of his income or from a contributor (individual/legal entity) in favor of the recipient;
- unclaimed amount of guarantee compensation from KDFG.
At the same time, the identification of an individual in whose favor payments will be made will be carried out according to personal data (full name, IIN, date of birth) indicated in the electronic format of the payment order, and all the necessary information: about the details of a valid document proving the identity of an individual, about place of permanent residence, other information will be received by UAPF from the relevant information systems of state bodies.
If a person already has an IPA for accounting for the VPC already opened in the UAPF, then the unclaimed amount of the guarantee compensation will be credited to this account.
It should be noted that the unclaimed amounts of the guarantee compensation credited to the IPA will be invested in the same manner as other amounts of the VPC.
Persons who have pension savings at the expense of VPC in the UAPF are entitled to receive them upon reaching the age of 50, upon the onset of disability, when leaving for a permanent place of residence outside the Republic of Kazakhstan as foreigners and stateless persons who have submitted documents determined by the legislation of the Republic of Kazakhstan, confirming intention or fact of departure.
To return the unclaimed amount before the above conditions, the depositor can apply to the KDGF in accordance with the Law of the Republic of Kazakhstan “On Mandatory Guarantee of Deposits Placed in Second-Tier Banks of the Republic of Kazakhstan. KDGF, in turn, will send a notification to the UAPF and the refund will be made. At the same time, if the UAPF contributor's VPC account was opened automatically and there are no funds left on it after the return to the KDGF, then it closes automatically in a month.