Big Lake Chamber of Commerce

Alaska short-term and payday loan laws in 2026

Alaska nearly replaced its payday loan law in June 2025. SB 39 passed both chambers and reached Gov. Mike Dunleavy, who vetoed it on June 24. The enrolled measure named July 1 as its effective date.

A payday company that serves Big Lake must follow Alaska’s deferred deposit advance rules in 2026, whether the application reaches the company online or at a storefront. One licensee may have no more than $500 outstanding to the same borrower, and the first payment date must be at least 14 days away.

Funds reach the borrower before the agreed payment date. Repayment usually relies on a dated check or an authorized electronic debit. Alaska law calls this arrangement a deferred deposit advance.

Limits under AS 06.50 in 2026

The Alaska Division of Banking and Securities licenses deferred deposit advance companies and examines their records. Each company needs a state license before it accepts an Alaska application.

No more than $500 may remain outstanding with one licensee across all of its locations.

The first due date must be at least 14 days after the company releases the proceeds.

A company may collect an origination charge of up to $5. The separate advance charge cannot exceed the lower of $15 per $100 or 15% of the amount advanced.

Alaska permits two consecutive renewals. Each extension carries a 14-day minimum term and remains subject to the advance-charge ceiling.

A company cannot divide one transaction into smaller advances to collect several origination charges. The same company also cannot issue new proceeds to repay its existing agreement. Full payment becomes due after the second consecutive renewal.

The $500 ceiling covers a borrower’s combined balance with one licensee. It isn’t an automatic approval amount. A company may approve less after it reviews income and the proposed payment date. Prior applications and internal credit policy may influence the decision as well.

How the charges appear on the agreement

Alaska regulates civilian transactions through dollar charges rather than a statewide APR ceiling. On a $300 advance with a 14-day term, the maximum state charges total $50. A $5 origination charge and a $45 advance charge will appear separately on the agreement. Receipt of the proceeds carries no access charge.

Every contract must state the combined dollar charge and the annual percentage rate. APR projects a short-term charge across a full year; it doesn’t create another amount due. A longer term can display a lower APR even when the dollar charge remains unchanged.

Storefronts post their charges in dollars. The notice also gives APR examples for a $100 advance with 14-day and 30-day terms. An online contract will show the numbers for the borrower’s transaction.

Renewal charges appear separately. Each signed extension needs a new due date and its own authorized charge. Any comparison should use the same principal amount and payment date.

Required agreement details before disbursement

Both parties sign a state-approved agreement before the company releases funds. A separate signed disclosure records the statutory rights and payment terms.

The company’s legal name, business address, phone number, and email address

The agreement date, transaction number, advance amount, and proceeds delivered

The origination charge, advance charge, total dollar charge, and stated APR

The due date, payment amount, collection method, and electronic authorization

A dated check or debit authorization should match the payment amount on the agreement. Any renewal will require another date and a separate charge entry. The disclosure also provides Division contact information for licensing questions or complaints.

Alaska doesn’t allow property or services as security for this type of credit. AS 06.50 also prohibits mandatory arbitration. Payment default alone cannot support a threat of criminal action.

Borrowers should receive a completed copy before a storefront visit ends or an online transaction is complete. The company should fill every field before the borrower signs. Its final amount should match the bank deposit.

The next-business-day cancellation period

Alaska gives the borrower until the company’s close of business on the next business day to cancel. The borrower returns the proceeds in cash or immediately available funds. A company may retain the nonrefundable origination charge, up to $5, but other advance charges won’t remain due after a timely cancellation.

The signed disclosure should contain the exact deadline and accepted return method. An online borrower can request written confirmation after the company receives the repayment. Written confirmation should identify the transaction number and returned amount. It should also carry the date and time.

Bank records can confirm both electronic entries. One will show the original credit, while the other will record repayment.

Renewals, returned payments, and payment plans

A renewal moves the payment date by at least 14 days. Alaska permits two consecutive extensions, and the ordinary advance-charge ceiling applies to both. After the second renewal, the full balance will be due.

A returned-payment charge must appear in the original agreement. A returned payment doesn’t authorize an undisclosed fee.

Before court action or outside collection, the company must attempt contact at reasonable times. It must also offer a payment plan with a term of up to six months.

The first payment will equal at least 5% of the outstanding balance when the borrower signs the plan.

The company cannot impose a new charge for the payment schedule.

One charge under Alaska’s bad-check law may apply to a returned payment.

A certified letter must reach the last known address at least 15 days before court action.

Court damages and costs may exceed the unpaid payment by no more than $700. A written plan request can identify the account and current balance. It can also give the preferred schedule and first payment date. Payment receipts and the signed plan will show the credit applied and amount left.

Alaska license checks for online companies

AS 06.50 treats each storefront and Internet website as a separate business location for licensing. An out-of-state address doesn’t exempt a company that accepts applications from Alaska residents.

NMLS Consumer Access provides the public license record. Enter the exact legal name from the agreement. An active Alaska authorization and the company’s NMLS identification number should appear in the result. Payment instructions should name that company or its disclosed servicer.

The application domain should match the licensed business record. License questions can be sent to dbs.licensing@alaska.gov. The Division’s Anchorage numbers are 907-269-8140 and 888-925-2521.

The federal 36% rule for military borrowers

The Military Lending Act limits the Military Annual Percentage Rate to 36% for covered borrowers. Federal law includes payday loans and deposit advances within covered consumer credit.

Coverage applies to active-duty members and activated Reserve members. National Guard members qualify under federal orders longer than 30 consecutive days. Covered spouses and certain dependents receive the same federal terms.

MAPR includes several charges that ordinary APR may exclude. Credit insurance and credit-related add-ons enter the calculation. Application fees and many participation charges may count as well.

A creditor cannot require an arbitration agreement.

Repayment cannot depend on a mandatory military allotment.

Early payment carries no prepayment penalty.

Creditors must give oral and written disclosures.

SB 39’s veto had no effect on these federal terms. The 36% MAPR remained in force throughout 2026.

Credit union choices near Big Lake

Mat-Su credit unions use installment loans or personal lines for small personal credit. Membership and credit approval come first, so funding dates vary. An applicant can request the expected disbursement date before submitting an application.

Matanuska Valley Federal Credit Union has an unsecured personal loan and a reusable personal line. Its Credit Builder product uses money in a savings or certificate account as security.

Credit Union 1 provides unsecured personal loans and credit secured by a share or certificate account. Its personal loans carry no early repayment fee.

Global Credit Union gives members access to a personal line online, at an ATM, or through a branch. Interest accrues only while a balance remains, and the line has no minimum withdrawal.

Payday Alternative Loans are available at some federal credit unions. Federal rules authorize PALs I and PALs II, but an institution chooses whether to offer either product.

PALs I range from $200-$1,000 with one- to six-month terms. Membership must begin at least one month before the credit union approves the advance, and the application charge cannot exceed $20. PALs II may reach $2,000 with terms of one to 12 months. A new member may apply without the one-month wait.

Both PAL versions amortize through scheduled payments and prohibit rollovers. Federal rules also limit a member to one PAL at a time.

State contacts and complaint records

The Division of Banking and Securities complaint form accepts matters involving deferred deposit advances. A submission can include the signed agreement and payment records. Company messages and a dated account of the disputed conduct can accompany them.

Division email: dbsc@alaska.gov

Division mailing address: 550 West 7th Avenue, Suite 1850, Anchorage, AK 99501

Division statewide telephone: 888-925-2521

Consumer Protection Unit, Anchorage telephone: 907-269-5200

Consumer Protection elsewhere in Alaska: 888-576-2529

Consumer Protection email: consumerprotection@alaska.gov