State rules
Alaska auto loan rules
Alaska has 149 Census places covered on AutoLoanable, with a combined estimated population of 491,426. Vehicle financing in Alaska is governed by state law — the interest-rate caps, title-lending rules, sales-finance licensing and the regulator that oversees them. The sourced figures below apply to every car loan made to a borrower in the state.
The lowest rates are only available to the most qualified applicants.
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Key rules for car buyers in Alaska
| Rule | Detail | Source |
|---|---|---|
| Maximum legal interest rate (usury cap) | 10.5% per annum default; by contract, the greater of 10% or 5 percentage points above the 12th Federal Reserve District advance rate (loans over $25,000 exempt) Source says: "The rate of interest in the state is 10.5 percent a year and no more on money after it is due"; "more than the greater of 10 percent or five percentage points above the annual rate charged member banks for advances by the 12th Federal Reserve District". |
Alaska Legislature — Alaska Statutes § 45.45.010 as of 2026-09-17 |
| Vehicle title loan status | Title-secured loans are made by licensed small loan companies under the Alaska Small Loans Act; interest is capped at 3% per month on the first $850, 2% per month on $850-$10,000, and a contract rate above $10,000 (loans up to $25,000). Source says: "interest at a rate not exceeding three percent a month on that part of the unpaid principal balance of a loan not in excess of $850" License category: Small loan company license (Alaska Stat. § 06.20.010; Division of Banking and Securities lists 'Title Lending'). |
Alaska State Legislature — Alaska Stat. § 06.20.230 (Alaska Small Loans Act) as of 2026-09-17 |
| Sales finance / installment lender licensing | License required from the department to make loans of $25,000 or less at above-legal rates; $25,000 liquid assets and $25,000 bond required Source says: "without first obtaining a license from the department"; "liquid assets of at least $25,000". Motor-vehicle retail installment sales are separately governed by the Alaska Retail Installment Sales Act (Alaska Stat. §§ 45.10.010-45.10.230). |
Alaska Legislature — Alaska Statutes §§ 06.20.010, 06.20.040 as of 2026-09-17 |
| State lending regulator | Alaska Department of Commerce, Community, and Economic Development (Division of Banking and Securities) Source says: "department means the Department of Commerce, Community, and Economic Development". The Division of Banking and Securities (commerce.alaska.gov/web/dbs) administers the department's lending license programs. |
Alaska Legislature — Alaska Statutes § 06.50.900(5) as of 2026-09-17 |
How to use these rules
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Check the ceiling before you compare offers
If a quoted APR looks extreme, compare it against the Alaska cap above — and note that a specific statutory exemption can apply to a particular product.
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Verify the lender is licensed
Use the regulator named in the table to confirm the lender or sales-finance company may legally serve borrowers in the state.
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Know what is secured against your car
A vehicle title loan is secured by the car itself. If the state permits it, understand the repossession terms before you sign anything.
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Budget for tax and fees separately
Sales tax and title fees are financed along with the car, so they raise the amount you borrow — and therefore the interest you pay on them.
Cities in Alaska
We cover 149 Census places in Alaska.