Sec. 06.20.270. Requirements for making and payment of loans.

263 words·~1 min read·/ak/title-6/chapter-20/06-20-270

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Except as provided in AS 06.20.285 for open-end loans, every licensee shall

(1)deliver to the borrower at the time a loan is made a statement containing a printed copy of AS 06.20.230 — 06.20.260 in the English language and showing in clear and distinct terms the amount and date of the loan and its maturity, the nature of the security, if any, for the loan, the name and address of the borrower and the licensee, and the agreed rate of charge;

(2)give to the borrower a plain and complete receipt for all payments made on account of the loan at the time payments are made, specifying the amount applied to interest and the amount, if any, applied to principal, and stating the unpaid principal balance, if any, of the loan;

(3)permit payment to be made in advance in any amount on a contract of loan at any time, but the licensee may apply the advance payment first to all interest in full at the agreed rate up to the date of payment;

(4)upon repayment of the loan in full, mark indelibly every obligation and security signed by the borrower with the word “Paid” or “Cancelled,” and release any mortgage, restore any pledge, cancel and return any note, and cancel and return any assignment given to the licensee by the borrower;

(5)display prominently in each licensed place of business a full and accurate schedule, approved by the department, of the charges to be made and the method of computing them.