205 ILCS 635/4-8
2021 Illinois Compiled Statutes|Chapter 205 - FINANCIAL REGULATION|205 ILCS 635/ - Residential Mortgage License Act of 1987.|Article IV - Supervision

 (from Ch. 17, par. 2324-8)Sec. 4-8. Delinquency; examination.(a) (Blank).(b) The Secretary shall conduct as part of an examination of each licensee a review of the licensee's loan delinquency data.This subsection shall not be construed as a limitation  of the Secretary's examination authority under Section 4-2 of this Act or as  otherwise provided in this Act.  The Secretary may require a licensee to provide loan delinquency  data as the Secretary deems necessary for the proper enforcement  of the Act.(c) The purpose of the examination under subsection (b) shall be  to determine whether the loan delinquency data of the  licensee has resulted from practices which deviate from  sound and accepted mortgage underwriting practices, including, but not  limited to, credit fraud, appraisal fraud, and property inspection fraud.  For the purpose of conducting this examination, the Secretary may accept  materials prepared for the U.S. Department of Housing and Urban Development.(d) The Secretary, at his or her discretion, may hold public  hearings. Such testimony shall be by a homeowner or mortgagor or his  agent, whose residential interest is affected by the activities of the  residential mortgage licensee subject to such hearing.  At such public hearing, a witness may present testimony on his or her behalf  concerning only his or her home or home mortgage, or a witness may authorize a  third party to appear on his or her behalf.  The testimony shall be  restricted to information and comments related to a specific residence or  specific residential mortgage application or applications for a residential  mortgage or residential loan transaction.  The testimony must be preceded  by either a letter of complaint or a completed consumer complaint form  prescribed by the Secretary.(e) The Secretary shall, at the conclusion of the public hearings,  release his or her findings and shall also make public any action taken  with respect to the licensee. The Secretary shall also give full  consideration to the findings of this examination whenever reapplication is  made by the licensee for a new license under this Act.(f) A licensee that is examined pursuant to subsection (b)  shall submit to the Secretary a plan which shall be designed to reduce that  licensee's loan delinquencies.  The plan shall be implemented by the  licensee as approved by the Secretary.  A licensee that is  examined pursuant to subsection (b) shall report monthly,  for a one year period, one, 2, and 3 month loan delinquencies.(g) Whenever the Secretary finds that a licensee's loan delinquencies    on insured mortgages is unusually high within a particular  geographic area, he or she shall require that licensee to submit such  information as is necessary to determine whether that licensee's practices  have constituted credit fraud, appraisal fraud or property inspection  fraud.  The Secretary shall promulgate such rules as are necessary to  determine whether any licensee's loan delinquencies are  unusually high within a particular area.  (Source: P.A. 100-783, eff. 8-10-18; 100-1153, eff. 12-19-18; 101-81, eff. 7-12-19.)