Compare legal limits, fees and the true cost of small loans in your state before you talk to any lender. Compare legal limits, fees and the true cost of small loans in your state.
Credit Unions vs Payday Loans in Fairbanks, AK
2 credit unions are headquartered in Fairbanks, with 27,473 members in total. Credit unions are member-owned and often offer small personal loans and payday alternative loans (PALs) at far lower rates than payday lenders.
- Credit unions
- 2
- Members
- 27,473
- Federal
- 2
- State-chartered
- 0
Credit unions vs payday loan stores in Fairbanks
Fairbanks has 2 credit unions headquartered here, and we found no storefront payday loan chains. Local credit unions count 27,473 members — roughly 46 memberships per 100 residents.
Credit unions
2
3.3 per 100k residents
27,473 members
Payday & loan stores
0
0 store chains
What a $500 loan costs over 3 months
| Option | Payment | Total cost |
|---|---|---|
| Payday loan, re-borrowed 6 times (~435% APR) | $80.00 every 2 weeks | $480.00 |
| Credit union PAL, 3 monthly payments (28% APR + $20 fee) | $174.50 a month | $43.51 |
- You keep with a credit union PAL over 3 months
- $436.49 payday costs 11× more
Payday: the AK maximum — $80 on a $500 loan for 2 weeks, paid again each time the loan is renewed or taken out again (6 times in 3 months). PAL: payday alternative loan from a federal credit union, capped at 28% APR with an application fee of up to $20.
What it means for a household in Fairbanks
- Median household income
- $84,173
- Payday fee of $80, share of two weeks' income
- 2.5%
- Hours of work to pay the $80 fee
- 3.6 hours
- PAL payment of $174.50, share of monthly income
- 2.5%
- A $400 emergency equals
- 1.7 days of income
- Households earning under $25,000
- 11.7%
- Residents below the poverty line
- 7.1%
Income and poverty: U.S. Census Bureau, American Community Survey, by ZIP code; figures for Fairbanks are population-weighted and approximate. Hours of work are based on the median individual income.
Payday loans vs credit union PALs: the rules in Alaska
| Payday loan in AK | Credit union PAL | |
|---|---|---|
| Legal status | Allowed | Offered by many federal credit unions |
| Loan amount | $500 | $200 – $2,000 |
| Fee limit | 15% of advance + $5 fee ($80) | Application fee up to $20 |
| Typical APR | ~435% | Up to 28% |
| Term | Usually 2–4 weeks, due in one payment | 1 to 12 months, in installments |
| Credit check | Usually none; a bank account and income are required | Membership required; payments can be reported to credit bureaus |
Payday rules: Alaska law as summarized on our Alaska payday page. PAL rules: National Credit Union Administration (NCUA) rules for federal credit unions (PAL I and PAL II); state-chartered credit unions may offer similar small loans.
Credit unions headquartered in Fairbanks
| Credit union | Address | Members | Website |
|---|---|---|---|
| Mac Federal Credit UnionFederal | 541 10th Ave Fairbanks, AK 99701 | 18,242 | macfcu.org |
| Spirit of Alaska Federal Credit UnionFederal | 1417 Gillam Way Fairbanks, AK 99701 | 9,231 | spiritofak.com |
More about Fairbanks
Only credit union headquarters are listed, with the address on file with the NCUA; phone numbers and branch locations are on each credit union’s website. Many credit unions also have branches in Fairbanks and nearby — check membership requirements, as some are open to anyone who lives or works in the area. Loan stores: storefront locations of major payday, installment and title lenders; call ahead to confirm hours.