Getting a loan today has never been easier. A few clicks online — and the money is already in your account. But this convenience often pushes people into rushed decisions. A poorly calculated loan can quietly turn into a long-term financial burden. Before signing any documents, it’s worth slowing down and taking a closer look at your real financial situation, DKNews.kz reports.
Do you really need this loan?
The first and most important question is an honest one: can I manage without borrowing? A loan is not just financial support — it is a commitment that must be repaid every month, regardless of circumstances. If the purchase is not critical, it may be wiser to postpone it, save up, cut expenses, or look for additional income instead of taking on debt.
Calculate your debt burden
One of the most common mistakes borrowers make is underestimating how much of their income will go toward loan repayments. This is where the debt-to-income ratio (DTI) comes in.
The formula is simple: DTI = (total monthly loan payments / monthly income) × 100%
In Kazakhstan, legislation sets a clear limit: a borrower’s DTI must not exceed 50%. In practical terms, at least half of your income should remain available for everyday expenses — food, housing, transport, and unexpected costs. If your loan payments approach this threshold, the risk to your financial stability increases sharply.
Compare offers from different banks
The interest rate shown in advertisements rarely reflects the true cost of a loan. What really matters is the annual effective interest rate (AEIR), which includes commissions, insurance, and all additional fees.
Even a difference of 1–2 percentage points can mean hundreds of thousands of tenge in extra payments over the life of a loan. Always compare offers from several banks and calculate the exact monthly payment using online calculators before making a decision.
Check your credit history in advance
Even if you believe your credit record is flawless, checking it beforehand is a smart move. Banks rely heavily on credit history when deciding whether to approve a loan and on what terms. An old delay or an error in the system can unexpectedly work against you.
You can obtain your credit report online via the eGov.kz portal or the website of the First Credit Bureau. If you notice mistakes or loans that have already been repaid but still appear as active, submit a request for correction immediately. A strong credit history affects not only approval but also interest rates and loan limits.
A loan is a tool — it can help or hurt, depending on how it’s used. Taking a few simple steps before borrowing — honestly assessing your need, calculating your debt burden, comparing bank offers, and checking your credit history — can save you from serious financial stress later. When it comes to debt, caution upfront is always cheaper than optimism afterward.
