reglab/statecodes huggingface dataset:
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.30 - Individual Account Cards

Current through Register Vol. 48, No. 28, July 12, 2024
An individual account card shall be kept for each transaction
				  or appropriate combination of records with respect to each finance agreement,
				  which the licensee acquires pursuant to Section 2(a) of the Sales Finance
				  Agency Act.
a) Such account card or
				records shall show the name and address of buyer, names of co-purchasers or
				obligors, transaction number, date of transaction, nature of security, type and
				cost of insurance, official fees charged and paid, amount and date of each
				installment due and paid; the schedule of installments as set forth in the
				instrument purchased, total finance charge where applicable, and the name of
				holder if the instrument is hypothecated. The record shall also show the amount
				of official fees received and paid out for filing, recording or releasing a
				financing statement or security agreement, including the fee required by the
				Secretary of State for perfecting a lien on a motor vehicle title.
1) The record for an interest-bearing
				contract shall show the original principal amount of the contract, rates of
				interest, and finance charge where applicable.
2) The record for a precomputed contract
				shall show the original principal amount of the contract, excluding the
				precomputed interest and charges, the amount of the finance charge and the face
				amount of the contract including the finance charge.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.40 - File of Original Papers

Current through Register Vol. 48, No. 28, July 12, 2024
a) A
				separate file shall be maintained for each obligor. Each such file shall
				contain the contract, security agreement or financing statement, wage
				assignment, evidence of compliance with the requirements of the federal
				Consumer Credit Protection Act (15 U.S.C. 41) and all other
				instruments which are evidence of indebtedness or security pertaining to the
				transaction, except when the documents are in the custody of a court or of an
				agent for collection or are hypothecated or sold as provided in this Part.
				Other papers relating to the obligor, or the obligor's debt may be kept in the
				same or a separate file in the same office. A licensee may maintain these files
				in any medium or format that accurately reproduces original documents or
				papers.
b) All legal instruments
				evidencing indebtedness in connection with a transaction and executed by an
				obligor, including a copy of the Disclosure Statement, if a separate
				instrument, must bear the transaction number.
c) Except for the account number, no
				licensees shall take the assignment or purchase any instruments in which the
				blanks are not filled in completely.
d) All spaces or sections not used in the
				preparation of legal documents shall be ruled out or designated as "non" or
				"n/a".
e) Any amendments to the
				retail installment contract shall be signed by the obligor and creditor or
				assignee.
f) The name and address
				of the original seller must be incorporated into or appear on all legal
				instruments taken from an obligor and acquired by a licensee.
g) Every licensee shall preserve the records
				of all retail installment contracts, retail charge agreements, and/or loans
				secured by retail installment contracts for at least two years after making the
				final entry for such contract, agreement, or loan. Records shall be maintained
				in a form accessible to the Department.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.50 - Cash Book

Current through Register Vol. 48, No. 28, July 12, 2024
a) All receipts and
				disbursements of any amount whatsoever shall be entered on the day they occur
				in the cash book or equivalent record. Separate headings shall be provided for
				installments, charges, and for official fees collected and disbursed, and for
				amounts received and disbursed for any type of insurance coverage.
b) The cash book shall be a permanent record
				of all details of income and disbursements including all entries to individual
				accounts of obligors. A licensee may maintain these files in any medium or
				format which accurately reproduces original documents or papers.
c) For precomputed contracts, payments
				applied to a transaction may be shown as a total sum and need not be itemized
				between amount financed and finance charges, but additional charges collected
				for delinquency shall be itemized or otherwise separately indicated.
d) For interest-bearing contracts, payments
				applied to a transaction must be itemized between principal, interest, other
				charges and additional charges collected for delinquency.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.55 - Permanent File

Current through Register Vol. 48, No. 28, July 12, 2024
Each licensee shall maintain a permanent file which includes
				  the following:
a) A copy of all
				correspondence sent to or received from the Department within the past 24
				months.
b) A copy of the last two
				examination exception reports and any related correspondence.
c) A copy of the Sales Finance Agency Act, a
				copy of this Part, the Motor Vehicle Retail Installment Sales Act and the
				Retail Installment Sales Act.
d) A
				list of Business Source and Affiliates as prescribed in Section
				160.200
				of this Part.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.60 - Alphabetical Record of Buyers, Co-Purchasers and Obligors

Current through Register Vol. 48, No. 28, July 12, 2024
The alphabetical record shall show the name of each buyer,
				  co-buyer and obligor who is currently indebted to the licensee, together with
				  sufficient information to locate the account card. A licensee may maintain
				  these files in any medium or format that accurately reproduces original
				  documents or papers.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.70 - Payments

Current through Register Vol. 48, No. 28, July 12, 2024
a) All payments
				shall be credited on the account card as of the date received.
b) A receipt shall be issued to the obligor
				for each payment received.
c) When
				the finance charge is precomputed, the receipt for each payment shall show the
				date of payment, the amount applied to the balance of the contract and the
				amount applied to any other charges permissible under the applicable State law.
				Payments shall be applied in the order in which they become due.
d) The receipt for each payment on an
				interest-bearing account shall show the date of payment, amount applied to
				interest, amount applied to insurance, amount applied to principal, balance due
				on the account, amount applied to any other charges permissible under the
				applicable State law and any amount of interest earned by not
				collected.
e) No licensee may
				retain any portion of a payment processing fee.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.80 - Delinquency Charges (Default Charges)

Current through Register Vol. 48, No. 28, July 12, 2024
All delinquency charges (Default Charges) shall comply with
				  any requirements and provisions of applicable federal and State law under which
				  the contract was made.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.90 - Cancellation and Return of Documents

Current through Register Vol. 48, No. 28, July 12, 2024
All original legal documents executed by the obligor
				  evidencing indebtedness shall be cancelled and returned to the obligor promptly
				  following the renewal or payment in full. Where original documents are not
				  available, a licensee shall substitute copies reproduced from any medium or
				  format which accurately reproduces the original documents. Continuing security
				  agreements shall be retained until subsequent debts are paid in full. If an
				  executed copy of a legal document is retained following payment in full or
				  renewal, it must be clearly indicated by physical or digital method as "PAID"
				  or "CANCELLED" or "RENEWED", indicating the date of payment, cancellation, or
				  renewal. Copies clearly identified with the legend "COPY NOT NEGOTIABLE" or
				  similar language, may be used in lieu of this requirement.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.100 - Extensions - Renewals - Rebates

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				The obligor may prepay in full by cash, extension, renewal or otherwise at any
				time before maturity and shall be entitled to a refund in accordance with
				Section 7 of the Motor Vehicle Retail Installment Sales Act [815 ILCS
				375 ] or in accordance with Section 7 of the Retail
				Installment Sales Act [815 ILCS 405 ], whichever is
				applicable.
b) The holder of the
				contract may, if the obligor requests, renew or extend the maturity date of all
				or part of the contract for which the licensee may charge and collect a
				refinance charge in accordance with Section 20 of the Retail Installment Sales
				Act or Section 19 of the Motor Vehicle Retail Installment Sales Act, whichever
				is applicable.
c) If the contract
				provides for precomputed interest, a deferment charge may be calculated as the
				difference between the rebate that would be required for prepayment in full as
				of the scheduled due date of the deferred installment and the rebate which
				would be required for prepayment in full as of one month prior to said
				date.
d) If the contract provides
				for precomputed interest, any required rebate of finance charge may be
				calculated using the actuarial method, defined by the federal Truth in Lending
				Act (15 U.S.C.
				1601 et seq.) and Regulation Z, Appendix J
				(12 CFR
				226) or any other method permitted by
				applicable State law. The rebate for prepayment in full after extension charges
				have been levied must be larger than the rebate which otherwise would be
				required. For the purpose of computing rebates, the number of elapsed months
				must be reduced by one month for each month for which an extension charge has
				been collected; and the number of months of prepayment must be increased by one
				month for each month for which an extension charge has been
				collected.
e) The licensee may not
				charge an acquisition cost in computing rebates on prepayment in full following
				extension or renewal if such cost was included as an item in arriving at the
				net balance to be extended or renewed when the account was at any prior time
				renewed or extended.
f) When a
				contract is prepaid in full, the obligor shall be advised as to the amount of
				the rebate of finance charge and unearned insurance premiums.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.110 - Hypothecation of Security Instruments

Current through Register Vol. 48, No. 28, July 12, 2024
a) All instruments held by licensees as
				evidence of indebtedness may be pledged without the prior consent of the
				Department, except the pledgee must provide the Department, in writing, in a
				form satisfactory to the Department that the Director or the Director's
				representatives may at any time examine the pledged instruments, and such
				pledgee shall also agree, in writing, to provide suitable working quarters for
				the examiner of the Department to make such examination.
b) Should the physical records or documents
				of the accounts pledged be located outside of the geographic boundaries of the
				State of Illinois, the licensee must pay all of the expense of examination by
				the representatives of this Department, in addition to the examination fees as
				specified in Section 160.210.
c) Each instrument hypothecated must bear the
				following endorsement or substantially similar language:
"This instrument is non-negotiable in form but may be pledged
				  as collateral security. If so pledged, any payment made to the pledgor, upon
				  the debt evidenced by this obligation, shall be considered and construed as a
				  payment on this instrument, the same as though it were still in the possession
				  and under the control of the pledgor named herein; and the pledgee holding this
				  instrument as collateral security hereby makes said pledgor its agent to accept
				  and receive payments hereon, either of installments or
				  charges."
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.120 - Legal Forms

Current through Register Vol. 48, No. 28, July 12, 2024
a) All forms of
				contracts and assignments of wages furnished by the licensee to a retail seller
				in connection with a regulated transaction under the Sales Finance Agency Act
				are required to be submitted to the Department. Where the licensee or affiliate
				is engaged in the same business and licensed by this Department to engage in
				such business in another location, the use of identical forms in the new
				location is not required to be submitted to the Department.
b) Should the licensees at any time following
				submission of the forms modify the forms, the forms as modified shall be
				submitted to the Department.
c) All
				forms shall be submitted in the format requested by the Division.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.130 - Judgments

Current through Register Vol. 48, No. 28, July 12, 2024
a) When an account
				has been reduced to judgment, the face of the account card, in physical or
				digital form, shall show the amount and date of the judgment. When judgment is
				taken before maturity on a precomputed contract, the same rebate of finance
				charge is required that would be required for prepayment in full on the date of
				the entry of judgment.
b) All
				payments received shall be applied to the judgment balance and be properly
				identified. The rate of interest charged on a judgment balance must comply with
				current applicable federal and State law. No higher rate of interest or charge
				shall be assessed or accepted.
c)
				The files of the licensee must contain statements setting forth the following
				items:
1) Date of judgment.
2) Copy of judgment.
3) Date suit was filed.
4) The amount of principal and the amount of
				charges for which judgment was taken.
5) In the case of a precomputed contract, the
				unpaid balance of contract, the rebate of interest subtracted therefrom, the
				resulting balance, plus the amount of any interest included in the
				judgment.
6) Attorney's fees if
				permitted by the terms of the instrument.
7) Court costs.
8) Amount of the
				judgment.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.140 - Sale of Security

Current through Register Vol. 48, No. 28, July 12, 2024
a) When part or
				all of the collateral is repossessed or sold, the fact must be noted on the
				account card.
b) All credits from
				proceeds of the sale of security must be properly identified.
c) The files of the licensee must contain:
1) When possession of the security was
				obtained, and whether by voluntary or involuntary action.
2) Whether the collateral was sold by public
				or private sale and date of sale.
3) Evidence of compliance by licensee with
				the requirements of Article 9 of the Uniform Commercial Code, the Motor Vehicle
				Retail Installment Sales Act, the Retail Installment Sales Act and related
				statutes where applicable in the sale and disposition by a secured party of
				collateral after default, including copies of all notices directed to the
				obligor as required therein or as required by any other law, statute or
				regulation, State or federal.
4) A
				report of condition of property at time of retaking.
5) Copy of notice of intended sale which must
				contain notice of default, balance owing, date, place and time of public sale
				or the date after which a private sale may occur. Such notice must be forwarded
				to the obligor by certified mail to the last known address of the
				obligor.
6) Signed receipts from
				the purchasers (or from the auctioneer if the sale is public), describing the
				property purchased, showing the amount paid for same, and copies of any
				competitive bids if the sale is private.
7) Copy of the statement of final accounting,
				original of which shall be sent to the obligor after the sale, which statement
				shall set forth the sale price of the property, itemization of the costs of
				sale, and any surplus or deficiency balance due on the account.
8) When the property is abandoned and the
				address of the obligor is uncertain or unknown, notice of sale and a statement
				of final accounting shall be sent to the last known address by registered or
				certified mail, return receipt requested.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.160 - Lien Charges

Current through Register Vol. 48, No. 28, July 12, 2024
All official fees paid for the purpose of perfecting or
				  releasing a security interest in property which may be the subject of any sale
				  contract may be collected from the obligor.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.170 - Insurance

Current through Register Vol. 48, No. 28, July 12, 2024
a) Credit Life,
				Health and Accident:
Licensees, at their option, may provide, but not require,
				  decreasing term credit life insurance and credit accident and health insurance
				  and make a charge to the obligor, providing the obligor has indicated in a
				  specific dated and separately signed statement that the coverage is not
				  required by seller and obligor desires the insurance coverage which is included
				  as a charge or paid by the obligor.
1)
				The licensee may provide joint credit life or joint credit accident and health
				insurance if both insured are obligated for the debt.
2) The maximum charge for credit life and
				credit accident and health insurance shall be as prescribed by the State of
				Illinois Department of Insurance.
3) When an account is prepaid in full the
				obligor shall receive a refund of the unearned credit life, health and accident
				insurance charges. The required refund shall be computed according to the
				actuarial method. When the refund of either credit life or credit accident and
				health premiums is less than $1.00, no refund is
				required.
4) If the obligor dies
				during the term of the transaction, the life insurance, if any, shall pay the
				benefits due according to the terms of the policy. The obligor's estate shall
				be paid the difference between the net unpaid balance and the insurance benefit
				paid. Evidence of this payment shall be maintained by the licensee.
5) For death claims on account of credit life
				insurance, the account cards shall indicate the date of death and the refunds
				of finance charge and unearned insurance premiums paid to the estate. The
				refund check or voucher number shall be available on demand.
6) Credit life and credit accident and health
				insurance provided by a licensee may be cancelled within 15 days after the date
				of the loan by written request of all parties to the obligation. In the event
				of cancellation, the entire premium cost, if any, shall be refunded to the
				obligors and insurance shall then be void from its
				inception.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.180 - Office and Office Hours

Current through Register Vol. 48, No. 28, July 12, 2024
Every licensee shall maintain a place of business or website
				  to which the general public shall have free access and where all obligations
				  shall be payable.
a) Except as
				authorized by the Department, each licensed office shall be open not less than
				three consecutive hours, between 8:00 A.M. and 6:00 P.M. on every business day,
				except Saturdays, Sundays and legal holidays, during the term of the license,
				and the licensee shall file with the Department a schedule of the hours during
				which the licensee elects to keep the office open, provided that any licensee
				may keep the office open for any period the licensee sees fit, in addition to
				the hours listed in such schedule.
b) Whenever a licensee desires to change the
				schedule of hours during which the office shall remain open, the licensee may
				do so upon filing with the Department a new schedule setting forth the changes
				at least three days before the change shall go into effect. The schedule of
				hours shall be prominently displayed in the licensee's place of
				business.
c) If any payment shall
				be due on any obligation to such licensee on any closed day, then such payment
				shall be considered for all purposes, including the computation of interest or
				charges, as having been received on any closed day, if such payment shall be
				received, whether through the mails or otherwise, at any time before the
				closing of business on the next regular business day following such closed
				day.
d) The license of each
				licensee and the license renewal certificate shall be prominently displayed in
				the licensee's place of business and website.
e) Whenever a licensee changes the place of
				business to a location other than that set forth in his license, he shall
				submit his license to the Department for change of address 10 days before he
				intends to occupy new quarters. The relocation fee of $500 shall accompany the
				license.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.190 - Advertising

Current through Register Vol. 48, No. 28, July 12, 2024
a) No licensee
				shall represent either orally or in writing, directly or indirectly, by any
				means whatsoever, including but not limited to, the use of any office sign
				(except its duly issued license) or the use and circulation of any letterheads,
				billheads, blank forms, notes, receipts, certificates, circulars or any written
				or printed matter that it is licensed by or subject to the supervision of the
				Department, or the State of Illinois, except by use of the following phrase:
"Licensed by the Illinois Department of Financial and
				  Professional Regulation pursuant to the Sales Finance Agency Act."
Provided, however, that the use or circulation of any written
				  or printed matter containing the foregoing phrase may only be in connection
				  with the licensee's business as a Sales Finance Agency.
b) The licensee shall not advertise in a
				false, misleading or deceptive manner or imply or indicate that the rates or
				charges for loans or extensions of credit are "approved", "set", or
				"established" by the State of Illinois or the Department.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.200 - Business Practices

Current through Register Vol. 48, No. 28, July 12, 2024
a) Notary
				fees shall not be charged to or collected from the obligor, co-maker, or
				surety.
b) No licensee shall take
				any power of attorney except to cancel any policies of insurance financed by
				the licensee as permitted by the Act and to receive either rebate of unearned
				premiums or loss payments.
c) No
				licensee shall transact business licensed under the Sales Finance Agency Act
				under any other name or at any other place of business than that named in the
				license.
d) Interest charges shall
				be collected only from the date the proceeds of the contract are delivered to
				or expended on behalf of the obligor, even if the contract bears a prior
				date.
e) No licensee shall
				knowingly purchase contracts from one who does either of the following:
1) In the course of the seller's business,
				employs a chain referral sales technique prohibited by the Consumer Fraud and
				Deceptive Business Practices Act [815 ILCS 505 ].
2) Uses a contract, a security instrument or
				other document not in conformance with the provisions of the Retail Installment
				Sales Act [815 ILCS 405 ], Motor Vehicle
				Retail Installment Sales Act [815 ILCS 375 ], the federal
				Consumer Protection Act (15
				U.S.C. 1601-1665b), or other applicable
				federal or State law.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.205 - Name Change

Current through Register Vol. 48, No. 28, July 12, 2024
Whenever the licensee desires to amend the name of the
				  licensed business, the licensee shall submit to the Department, within 15 days
				  after amending the name, the following:
a) $300 amended name change fee.
b) Amended Articles of Incorporation, if the
				licensee is a corporation.
c)
				Amended organization papers, if the licensee is an entity other than a
				corporation.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.210 - Examinations

Current through Register Vol. 48, No. 28, July 12, 2024
a) Licensees shall
				forward all examination remittances to the Division by any means designated by
				the Director.
b) All fees and
				charges shall be remitted in the form designated and communicated by the
				Director.
c) Examination
1) The Department may examine all records and
				investigate any transactions in any office of the licensee operating under the
				Act, or at any other location where records or instruments of the licensee are
				situated to determine that the business complies with all applicable laws and
				regulations. The Department will charge the licensee $1,200 for each examiner
				day or portion thereof required to make and complete an examination or
				investigation of the licensee.
2)
				The examination of the books and records of the licensee may be conducted
				concurrently with the examination of any other business conducted by the
				licensee which is regulated or licensed by the Department. A separate charge
				shall be made for each examiner day or portion thereof required to complete
				each examination as to each regulated or licensed business.
3) Should any part of the records or
				documents be located outside of the geographic boundaries of the State of
				Illinois, the licensee shall pay all the expenses the Department incurs to
				perform the examination.
4) The
				Department may conduct an examination for the purpose of verifying that the
				licensee has taken necessary actions to correct violations to the Act and/or
				related administrative rules and shall charge the licensee $1,500 for each
				examiner day or portion thereof.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.220 - Credit Practices

Current through Register Vol. 48, No. 28, July 12, 2024
No licensee or agent of the licensee while collecting or
				  attempting to collect an alleged debt shall engage in any of the following
				  acts:
a) Using or threatening to use
				force or violence to cause physical harm to an obligor, the obligor's family or
				the obligor's property.
b)
				Threatening arrest or criminal prosecution when no basis for such action
				lawfully exists.
c) Threatening the
				seizure, attachment and sale of an obligor's property when such action can only
				be taken pursuant to court order unless disclosure is made that prior court
				proceedings are required.
d)
				Disclosing or threatening to disclose information adversely affecting an
				obligor's reputation for credit worthiness with knowledge or reason to know
				such information is false.
e)
				Threatening to initiate or initiating communication with an obligor's employer
				unless there has been a default in the payment of the obligation and at least 5
				days prior written notice to the last known address of the obligor of the
				intent to communicate with the employer and except as expressly permitted by
				statute or court order.
f)
				Communicating or threatening to communicate with an obligor or the obligor's
				family with such unreasonable frequency as to constitute harassment, or at
				times reasonably considered to be unusual hours or known to be
				inconvenient.
g) Using profane,
				obscene or abusive language with an obligor or the obligor's family.
h) Disclosing or threatening to disclose
				information relating to an obligor's indebtedness to any other person except
				when such other person has a legitimate business need for the
				information.
i) Disclosing or
				threatening to disclose information concerning the existence of a debt which
				the licensee knows to be reasonably disputed by the obligor without disclosing
				the fact that the debt is disputed.
j) Attempting or threatening to attempt
				enforcement of a right or remedy with knowledge or reason to know that the
				right or remedy does not exist.
k)
				Use of any form of communication simulating legal or judicial process which
				gives the appearance of being authorized, issued or approved by a governmental
				agency, official or attorney at law when it is not.
l) Use of badges, uniforms, or other indicia
				of any governmental agency or official except as authorized by law.
m) Misrepresenting the amount of the debt
				alleged to be owed.
n) Representing
				that an alleged debt may be increased by the addition of attorney's fees,
				investigation fees or any other fees or charges when there is no contractual or
				statutory authorization for such addition.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.230 - Reports

Current through Register Vol. 48, No. 28, July 12, 2024
a) Licensees shall
				file with the Department such written reports as the Department may from time
				to time consider necessary.
b) All
				applications, forms, and any other documents required to be filed or submitted
				under the Act or this Part shall be verified as to their truth and
				accuracy.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.250 - Servicing of Accounts by Contract

Current through Register Vol. 48, No. 28, July 12, 2024
Upon prior approval of the Director, the licensee may
				  contract for servicing of accounts. A request for the Director's approval shall
				  be in writing and include the following:
a) Name and address of proposed
				servicer.
b) Executed contract,
				conditioned upon approval by the Director, between licensee and
				servicer.
c) Contact person and
				telephone number of the servicer.
d) A statement that the licensee will make
				all books, records and account information readily available for examination by
				the Department.
e) A statement that
				the licensee shall pay all examination expenses under Section 7 of the
				Act.
f) Written consent of servicer
				for the Department to conduct its examination.
g) A list of all Illinois licensees held by
				the proposed servicer.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.260 - Off-site Records

Current through Register Vol. 48, No. 28, July 12, 2024
Upon prior written approval of the Director a licensee may
				  retain physical records at a location other than the licensed facility. A
				  request for the Director's approval shall be in writing and include the
				  following:
a) Address of proposed
				off-site location.
b) Contact
				person and telephone number at the proposed off-site location.
c) Statement that all books, records and
				account information will be made available within 72 hours after the
				Department's request at either the licensed facility or the off-site
				location.
d) A statement that, at
				the Director's discretion, an examination may be conducted at either the
				licensed facility or the off-site facility.
e) A statement that the licensee shall pay
				for all examination expenses under Section 7 of the Act.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.270 - Revocation or Suspension of License

Current through Register Vol. 48, No. 28, July 12, 2024
If it is determined that the Director had the
				  authority to issue
the suspension or revocation of a license pursuant
				  to Section 10 of the Act, the Director
may issue orders as may be
				  reasonably necessary to correct, eliminate or remedy
the conduct at
				  issue. (See Section 16.5(g) of the
				  Act.)
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 160 - SALES FINANCE AGENCY ACT › Subpart A - GENERAL PROVISIONS › Section 160.280 - Loan Sales

Current through Register Vol. 48, No. 28, July 12, 2024
a) For purposes
				of this Section:
1) "Act" means the Sales
				Finance Agency Act [205 ILCS 660 ]; and
2) "Licensee" means licensees under the Act
				and the Consumer Installment Loan Act [205 ILCS 670
				].
3) "Transaction" means the
				pledge, hypothecation, sale, or other conveyance of contracts purchased, or
				loans made, under the provisions of the Act.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.10 - Purposes and Construction

Current through Register Vol. 48, No. 28, July 12, 2024
This Part is intended to carry out the purposes of the
				  Consumer Legal Funding Act. These rules shall be liberally construed to
				  effectuate the purposes of the Act.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.30 - Administration and Enforcement of the Act

Current through Register Vol. 48, No. 28, July 12, 2024
The Director and Division shall administer and enforce the
				  Act. The provisions of the Financial Institutions Code [20 ILCS
				  1205 ] shall apply to licensees, applicants, and any
				  activity covered by the Act.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.40 - Minimum Requirements for Office Records

Current through Register Vol. 48, No. 28, July 12, 2024
a) Every licensee shall keep the following
				records at the licensed location in any medium or format, including electronic,
				that accurately reproduces original documents, records, or papers:
1) Register of all consumer legal
				fundings.
2) Individual account
				records.
3) File of all original
				papers.
4) Cash book if the
				licensee uses cash.
5) Alphabetical
				record of all consumers entering consumer legal fundings.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.50 - Individual Account Record

Current through Register Vol. 48, No. 28, July 12, 2024
a) An
				individual account record shall be kept for each consumer who has a funding
				with the licensee. Such account record shall show the name and address of the
				consumer(s), account number, funding date, funding amount, resolution date (if
				applicable), resolution amount (if applicable), cancellation date (if
				applicable), and document preparation fee charged (if applicable).
b) Each funding shall have a unique account
				number.
c) Every licensee shall
				preserve the records of all fundings including the individual account record,
				for at least three years after making the final entry for such
				funding.
d) All legal instruments
				taken in connection with a funding and executed by a consumer including all
				disclosure statements shall bear the consumer's account number and the name and
				address of the licensee.
e) All
				legal instruments taken in connection with a funding and executed by a consumer
				including all disclosure statements must be provided in English and in the
				language in which the funding was negotiated.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.60 - Payments

Current through Register Vol. 48, No. 28, July 12, 2024
a) All payments
				shall be credited on the individual account record as of the date received and
				a written receipt shall be provided to the consumer and the consumer's
				attorney.
b) The receipt shall be
				provided to the consumer and consumer's attorney in any manner authorized by
				the consumer in the consumer legal funding contract or in a later agreement.
				The licensee shall not be required to provide receipt to the consumer's
				attorney if the consumer is not represented by an attorney on the date the
				payment is received by the licensee.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.70 - Determination of Payment

Current through Register Vol. 48, No. 28, July 12, 2024
a) Each
				licensee shall establish a reasonable written policy for making the
				determination that it will accept an amount lesser than the schedule resolution
				amount in full resolution of the funding and how the licensee will determine
				any such lesser amount. A licensee shall follow its written policy.
b) Each licensee shall establish a reasonable
				written policy for making the determination that no net proceeds are available
				from the legal claim and the consumer does not owe the licensee any of the
				funded amount or any charges otherwise due pursuant to the agreement. The
				written policy shall also include a process for making the determination that
				the consumer or consumer's attorney has committed fraud against the licensee.
				The written policy shall include procedures for providing notification to the
				consumer and the consumer's attorney. A licensee shall follow its written
				policy.
c) Each licensee shall
				provide a copy of the written policies described in this Section to the
				Department annually at renewal and at the time of any substantive
				updates.
d) A licensee shall notify
				the consumer's attorney or, if the consumer is not represented by an attorney
				on the date notice is sent, the consumer within three calendar days of
				determining that the licensee will accept an amount lesser than the scheduled
				satisfaction amount in full resolution of the funding. The licensee's notice to
				the consumer and attorney shall include the scheduled resolution amount, the
				amount the licensee will accept, the due date of the payment, and a statement
				that receipt of the payment will fully satisfy the funding. If the licensee
				receives the agreed upon amount identified in the notice on or before the due
				date, it must accept the amount identified in full satisfaction of the
				funding.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.71 - Permanent File

Current through Register Vol. 48, No. 28, July 12, 2024
Each licensee must maintain a permanent file which includes
				  the following:
a) A copy of all
				correspondence sent to or received from the Department within the past 24
				months.
b) A copy of the last two
				examination exception reports and any related correspondence.
c) A copy of all complaints received from
				consumers or consumers' attorneys and the resolution of all such
				complaints.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.80 - Return of Documents

Current through Register Vol. 48, No. 28, July 12, 2024
All legal instruments taken in connection with a funding and
				  executed by a consumer shall be returned to the consumer, physically or
				  electronically, promptly following the resolution date or the satisfaction
				  date. To satisfy the requirements of this Section, a licensee may substitute
				  copies reproduced from any medium or format which accurately reproduces the
				  original documents. Any executed copy of any legal instrument taken in
				  connection with a funding retained by the licensee must be clearly marked
				  "PAID" or "FULLY SATISFIED".
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.90 - Advertising

Current through Register Vol. 48, No. 28, July 12, 2024
a) Licensees shall
				not make reference, in any form of marketing or advertising, to "Low rates", or
				"Lower rates", or "Lowest rates", or "Lowest cost", or indicate by direct or
				indirect means through such expression as "Low cost", "Lower cost", or "Easier
				to repay". Licensees shall not make reference or imply, by any device, that the
				charges for a funding are low.
b)
				Upon request by the Department, licensees shall forward to the Department all
				advertising.
c) A licensee may
				indicate in advertising and otherwise that its business is "licensed" by the
				State of Illinois. A licensee may not advertise in
a false, misleading
				or deceptive manner
or imply or indicate that the rates or charges for
				fundings made are "approved", "set" or "established" by the Department,
				Division, or State of Illinois.
d)
				On a finding that an advertisement is false, misleading, or deceptive, the
				Secretary may issue a cease and desist order or any other order permitted by
				the Act.
e) The rules in this
				Section only apply to activity regulated pursuant to the Act.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.100 - Other Business

Current through Register Vol. 48, No. 28, July 12, 2024
Unless otherwise authorized by the Act, no other business may
				  be conducted at the licensed location unless authorized in writing by the
				  Secretary. The Secretary's authorization will be predicated upon the licensee's
				  agreeing:
a) That the authorization
				will neither conceal nor facilitate concealment of an evasion of the
				Act;
b) To comply with all federal,
				State, and local laws;
c) To obtain
				any license or registration required by a federal, State or local government
				agency to engage in the other business authorized;
d) That the Department may examine all
				records and investigate any or all transactions of the licensee;
e) The Secretary retains the right, upon
				notice and opportunity to be heard, to alter, amend or revoke any other
				business authorization;
f) That if
				any law enacted after the authorization prohibits the activity, the
				authorization shall become null and void immediately;
g) To pay the Department a nonrefundable
				Other Business Authorization Request fee of $500 at the time of making the
				request for the authorization; and
h) To pay the Department the sum of $100 as a
				renewal fee for each Other Business Authorization at the time of renewing the
				annual license.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.110 - Examinations

Current through Register Vol. 48, No. 28, July 12, 2024
The Department may examine all licensees from time to time
				  pursuant to Section 115 of the Act. The Department may examine a licensee at
				  any time, with or without notice.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.120 - Relocation

Current through Register Vol. 48, No. 28, July 12, 2024
Whenever a licensee desires to change the licensed place of
				  business to a location other than that set forth in the license and the
				  licensee shall provide the Department with the following at least ten days
				  prior to the relocation:
a) A
				relocation fee of $50;
b) A written
				notice providing the complete address of the new location;
c) Photographs of both the exterior and
				interior of the new location; and
d) A written sworn statement that the new
				location will not share the premises with another business.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.130 - Name Change

Current through Register Vol. 48, No. 28, July 12, 2024
Whenever the licensee desires to amend the name of the
				  licensed business, including the addition of an Other Trade Name (DBA), the
				  licensee shall submit to the Department, within 15 days after amending the
				  name, a change of name fee of $50, the amended Articles of Incorporation, if
				  the licensee is a corporation or amended organization papers, if the licensee
				  is an entity other than a corporation.
Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 170 - CONSUMER LEGAL FUNDING ACT › Subpart A - GENERAL PROVISIONS › Section 170.140 - Verification of Resolution Amount

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Upon written request by either the consumer or the consumer's attorney, the
				licensee shall provide in writing the resolution amount due as of the date of
				the response no later than three business days after receiving the
				request.
b) The written statement
				shall clearly and conspicuously state that the resolution amount may only be
				paid from the net proceeds of a settlement or judgment obtained from the
				consumer's legal claim and that if no proceeds are obtained from the consumer's
				legal claim, the consumer is not required to repay the company the consumer
				legal funding amount or charges.
c)
				Upon written request by either the consumer or the consumer's attorney, the
				licensee shall provide a copy of the original funding contract and any
				subsequent amendments no later than three business days after receiving the
				request.