Regulatory Alerts2026-07-16
Added · Updated
Alabama State Banking Department Bureau of Loans Regulations
The Alabama State Banking Department establishes comprehensive regulations for entities licensed under the Alabama Consumer Credit Act, Alabama Small Loan Act, and Deferred Presentment Services Act. The rules mandate licensing for each location, require a minimum tangible net worth of $25,000 for consumer credit licensees, and set specific examination fees ranging from $100 to $400 depending on the act and license type. Licensees are prohibited from engaging in unreasonable collection tactics, such as contacting borrowers between 9:00 p.m. and 6:00 a.m., and must maintain separate records for any other business activities conducted at licensed premises. Additionally, the regulations require all applications and reports to be submitted through the Nationwide Multistate Licensing System and define permissible finance charges and insurance practices.