AK HB304

Changes the loan eligibility threshold requiring state financial institution documentation from $35,000 or more to more than $35,000.

Extends maximum loan term from six years to 12 years, except for extensions under AS 44.33.955.

Increases interest rate cap from prime rate plus one percentage point to prime rate plus two percentage points, with minimum rate lowered from six percent to four percent annually.

Requires the Department of Commerce, Community, and Economic Development to report to the legislature on the microloan fund's activity, effectiveness, and improvement suggestions by January 15, 2022.

Applies amendments to loan applications submitted on or after the effective date of the act.