Code of Alabama - Title 5: Banks and Financial Institutions - Chapter 18 - Small Loans

• Section 5-18-1 Short title
  This chapter shall be known and may be cited as the Alabama Small Loan Act.
• Section 5-18-2 Legislative findings of fact and declaration of intent
  (a) The Legislature finds as facts and determines that: (1) There exists among citizens of this state a widespread demand for small loans. The scope...
• Section 5-18-3 Definitions
  The following terms, when used in this chapter, shall have the following meanings, unless the context clearly requires a different meaning. The meaning ascribed to...
• Section 5-18-4 License - Required; exemptions; penalties for violation of section
  (a) License required. No person shall engage in the business of lending in amounts of less than one thousand five hundred dollars ($1,500) and contract...
• Section 5-18-5 License - Application; fees; disposition of fees
  Application for a license shall be in writing, under oath and in the form prescribed by the supervisor. The application shall give the approximate location...
• Section 5-18-6 License - Investigation of application; issuance or denial of license
  (a) Investigation of application. - Upon the filing of such application and the payment of such fees, the supervisor shall investigate the facts concerning the...
• Section 5-18-7 License - Contents; posting; continuing effect
  (a) Contents of license; posting. - Each license shall state the address at which the business is to be conducted and shall state fully the...
• Section 5-18-8 License - Place of business of licensee
  (a) Separate license for each place of business. - Not more than one place of business shall be maintained under the same license, but the...
• Section 5-18-9 License - Revocation, suspension, etc.; investigation of complaints
  (a) Revocation of license. - The supervisor shall, upon 10 days' written notice to the licensee stating the contemplated action and in general the grounds...
• Section 5-18-10 Examinations of licensees; investigations; enforcement powers of supervisor
  (a) Annual examinations of licensees. At least once each year and at such other time as may be deemed necessary by the Supervisor of the...
• Section 5-18-11 Books, accounts and records of licensees; annual report
  (a) Books and records. -Each licensee shall keep and use in his business such books, accounts and records as will enable the supervisor to determine...
• Section 5-18-12 Promulgation of rules, regulations and orders by supervisor; furnishing of certified copies of licenses, regulations or orders
  (a) Rules, regulations, and orders. - The supervisor shall have authority to make reasonable rules, regulations, and orders for the administration and enforcement of this...
• Section 5-18-13 Advertising; schedule of charges
  (a) Advertising, etc. No licensee or other person subject to this chapter shall advertise, display, distribute, or broadcast or cause to permit to be advertised,...
• Section 5-18-14 Conduct of other business in office of licensee; loan business confined to licensed offices; acceptance of liens on real estate as security for loans
  (a) Other business in same office. - No licensee shall conduct the business of making loans under this chapter within any office, suite, room or...
• Section 5-18-15 Interest rates, charges, and fees
  (a) Maximum rates of interest and charge. Every licensee under this chapter may contract for and receive as interest on any loan of money less...
• Section 5-18-15.1 Additional late payment charge
  Notwithstanding the provisions of subsection (e) of Section 5-18-15, for contracts entered into after June 7, 2007, the additional late charge a licensee licensed under...
• Section 5-18-16 Duties of licensees as to making and payment of loans
  (a) Copy of contract or statement; receipts; payment in advance; release of obligation and security. - Every licensee shall: (1) At the time a loan...
• Section 5-18-17 Insurance in connection with credit transaction
  (a) With respect to any insurance written in connection with any credit transaction under this chapter, the creditor shall be subject to the same restrictions,...
• Section 5-18-18 Charges, rates, etc., as to certain loans
  Licensees may charge to a borrower the rates permitted by this chapter only on principal loan balances less than one thousand dollars ($1,000). No licensee...
• Section 5-18-19 Collection of loans made outside state
  Any loans made outside this state in accordance with the law applicable to such loan in the state in which the loan was made may...
• Section 5-18-20 Review of orders, etc., of supervisor
  In addition to any other remedy he may have, any licensee and any person considering himself aggrieved by any act or order of the supervisor...
• Section 5-18-21 Enforceability of provisions and agreements which violate chapter; liability of licensee for actual damage
  Except where other specific remedies are provided in this chapter for violations, in which event those remedies shall apply, any provision of a loan contract...
• Section 5-18-22 Modification, amendment or repeal of chapter
  This chapter or any part thereof may be modified, amended or repealed so as to effect a cancellation or alteration of any license or right...
• Section 5-18-23 Maintenance of listing of licensees doing business in state; public access to reports, etc
  (a) The supervisor shall cause to be kept on file in the Bureau of Loans, open to public inspection during business hours, an alphabetical listing...

Last modified: May 3, 2021