Credit Unions vs Payday Loans in Alabama

89 credit unions are headquartered in Alabama, with 2,496,980 members in total. 40 are federal credit unions and 49 are state-chartered; all are federally insured by the NCUA.

Credit unions

89

Members

2.5M

Federal

40

State-chartered

49

Members per 100 people

49

CUs per 100k people

1.8

Credit unions vs payday loan stores in Alabama

Alabama has 378 payday, installment and title loan stores but only 89 credit unions headquartered here — about 4.2 loan stores for every credit union. Local credit unions count 2,496,980 members — roughly 49 memberships per 100 residents.

Biggest loan store chains in Alabama: TitleMax (87), 1st Franklin Financial (50), Security Finance (48), Advance America (42), OneMain Financial (38).

What a $500 loan costs over 3 months

You keep with a credit union PAL over 3 months

$481.49 payday costs 12× more

Payday: the AL maximum — $87.50 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 Alabama

Median household income

$65,640

Payday fee of $87.50, share of two weeks' income

3.5%

Hours of work to pay the $87.50 fee

5.2 hours

PAL payment of $174.50, share of monthly income

3.2%

A $400 emergency equals

2.2 days of income

Households earning under $25,000

20.3%

Residents below the poverty line

15.8%

Income and poverty: U.S. Census Bureau, American Community Survey, by ZIP code; figures for Alabama are population-weighted and approximate. Hours of work are based on the median individual income.

Payday loans vs credit union PALs: the rules in Alabama

Payday rules: Alabama law as summarized on our Alabama 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 by city in Alabama

Credit unions are headquartered in 41 cities and towns across Alabama. Pick a city for addresses and websites, or scroll down for the smaller towns.

• Birmingham · 19
• Mobile · 9
• Tuscaloosa · 6
• Montgomery · 4
• Huntsville · 3
• Bessemer · 2
• Decatur · 2
• Florence · 2
• Gadsden · 2
• Auburn · 1
• Dothan · 1
• Phenix City · 1

All credit unions in Alabama

Credit unions in smaller towns of Alabama

Other cities and towns in Alabama where credit unions are headquartered, and how many there are in each.

• Andalusia 2
• Anniston 3
• Bay Minette 1
• Bynum 1
• Childersburg 1
• Courtland 1
• Daleville 1
• Demopolis 1
• Enterprise 1
• Eufaula 1
• Eutaw 1
• Fort Payne 1
• Hoover 2
• Irondale 1
• Mc Intosh 1
• Muscle Shoals 2
• Normal 1
• Opelika 2
• Opp 1
• Pennington 1
• Prattville 1
• Rainbow City 1
• Sheffield 2
• Stevenson 1
• Sycamore 1
• Sylacauga 1
• Tuscumbia 1
• Tuskegee 2
• Valley 1