100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB3799

 

Introduced 2/10/2017, by Rep. Daniel V. Beiser

 

SYNOPSIS AS INTRODUCED:
 
205 ILCS 5/5  from Ch. 17, par. 311
205 ILCS 205/1008  from Ch. 17, par. 7301-8
205 ILCS 305/13  from Ch. 17, par. 4414

    Amends the Illinois Banking Act, the Savings Bank Act, and the Illinois Credit Union Act. Allows certain financial institutions to refuse a transaction if an employee or officer has fulfilled certain training requirements under the Adult Protective Services Act and reasonably believes that an act of financial exploitation of an eligible adult has occurred or may occur. Provides that neither the financial institution nor its employees or officers shall be liable for any actions taken in good faith under the provisions. Effective immediately.


LRB100 10768 SMS 20999 b

 

 

A BILL FOR

 

HB3799LRB100 10768 SMS 20999 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Banking Act is amended by changing
5Section 5 as follows:
 
6    (205 ILCS 5/5)  (from Ch. 17, par. 311)
7    Sec. 5. General corporate powers. A bank organized under
8this Act or subject hereto shall be a body corporate and
9politic and shall, without specific mention thereof in the
10charter, have all the powers conferred by this Act and the
11following additional general corporate powers:
12        (1) To sue and be sued, complain, and defend in its
13    corporate name.
14        (2) To have a corporate seal, which may be altered at
15    pleasure, and to use the same by causing it or a facsimile
16    thereof to be impressed or affixed or in any manner
17    reproduced, provided that the affixing of a corporate seal
18    to an instrument shall not give the instrument additional
19    force or effect, or change the construction thereof, and
20    the use of a corporate seal is not mandatory.
21        (3) To make, alter, amend, and repeal bylaws, not
22    inconsistent with its charter or with law, for the
23    administration of the affairs of the bank. If this Act does

 

 

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1    not provide specific guidance in matters of corporate
2    governance, the provisions of the Business Corporation Act
3    of 1983 may be used if so provided in the bylaws, and if
4    the bank is a limited liability company, the provisions of
5    the Limited Liability Company Act shall be used.
6        (4) To elect or appoint and remove officers and agents
7    of the bank and define their duties and fix their
8    compensation.
9        (5) To adopt and operate reasonable bonus plans,
10    profit-sharing plans, stock-bonus plans, stock-option
11    plans, pension plans and similar incentive plans for its
12    directors, officers and employees.
13        (5.1) To manage, operate and administer a fund for the
14    investment of funds by a public agency or agencies,
15    including any unit of local government or school district,
16    or any person. The fund for a public agency shall invest in
17    the same type of investments and be subject to the same
18    limitations provided for the investment of public funds.
19    The fund for public agencies shall maintain a separate
20    ledger showing the amount of investment for each public
21    agency in the fund. "Public funds" and "public agency" as
22    used in this Section shall have the meanings ascribed to
23    them in Section 1 of the Public Funds Investment Act.
24        (6) To make reasonable donations for the public welfare
25    or for charitable, scientific, religious or educational
26    purposes.

 

 

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1        (7) To borrow or incur an obligation; and to pledge its
2    assets:
3            (a) to secure its borrowings, its lease of personal
4        or real property or its other nondeposit obligations;
5            (b) to enable it to act as agent for the sale of
6        obligations of the United States;
7            (c) to secure deposits of public money of the
8        United States, whenever required by the laws of the
9        United States, including without being limited to,
10        revenues and funds the deposit of which is subject to
11        the control or regulation of the United States or any
12        of its officers, agents, or employees and Postal
13        Savings funds;
14            (d) to secure deposits of public money of any state
15        or of any political corporation or subdivision thereof
16        including, without being limited to, revenues and
17        funds the deposit of which is subject to the control or
18        regulation of any state or of any political corporation
19        or subdivisions thereof or of any of their officers,
20        agents, or employees;
21            (e) to secure deposits of money whenever required
22        by the National Bankruptcy Act;
23            (f) (blank); and
24            (g) to secure trust funds commingled with the
25        bank's funds, whether deposited by the bank or an
26        affiliate of the bank, pursuant to Section 2-8 of the

 

 

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1        Corporate Fiduciary Act.
2        (8) To own, possess, and carry as assets all or part of
3    the real estate necessary in or with which to do its
4    banking business, either directly or indirectly through
5    the ownership of all or part of the capital stock, shares
6    or interests in any corporation, association, trust
7    engaged in holding any part or parts or all of the bank
8    premises, engaged in such business and in conducting a safe
9    deposit business in the premises or part of them, or
10    engaged in any activity that the bank is permitted to
11    conduct in a subsidiary pursuant to paragraph (12) of this
12    Section 5.
13        (9) To own, possess, and carry as assets other real
14    estate to which it may obtain title in the collection of
15    its debts or that was formerly used as a part of the bank
16    premises, but title to any real estate except as herein
17    permitted shall not be retained by the bank, either
18    directly or by or through a subsidiary, as permitted by
19    subsection (12) of this Section for a total period of more
20    than 10 years after acquiring title, either directly or
21    indirectly.
22        (10) To do any act, including the acquisition of stock,
23    necessary to obtain insurance of its deposits, or part
24    thereof, and any act necessary to obtain a guaranty, in
25    whole or in part, of any of its loans or investments by the
26    United States or any agency thereof, and any act necessary

 

 

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1    to sell or otherwise dispose of any of its loans or
2    investments to the United States or any agency thereof, and
3    to acquire and hold membership in the Federal Reserve
4    System.
5        (11) Notwithstanding any other provisions of this Act
6    or any other law, to do any act and to own, possess, and
7    carry as assets property of the character, including stock,
8    that is at the time authorized or permitted to national
9    banks by an Act of Congress, but subject always to the same
10    limitations and restrictions as are applicable to national
11    banks by the pertinent federal law and subject to
12    applicable provisions of the Financial Institutions
13    Insurance Sales Law.
14        (12) To own, possess, and carry as assets stock of one
15    or more corporations that is, or are, engaged in one or
16    more of the following businesses:
17            (a) holding title to and administering assets
18        acquired as a result of the collection or liquidating
19        of loans, investments, or discounts; or
20            (b) holding title to and administering personal
21        property acquired by the bank, directly or indirectly
22        through a subsidiary, for the purpose of leasing to
23        others, provided the lease or leases and the investment
24        of the bank, directly or through a subsidiary, in that
25        personal property otherwise comply with Section 35.1
26        of this Act; or

 

 

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1            (c) carrying on or administering any of the
2        activities excepting the receipt of deposits or the
3        payment of checks or other orders for the payment of
4        money in which a bank may engage in carrying on its
5        general banking business; provided, however, that
6        nothing contained in this paragraph (c) shall be deemed
7        to permit a bank organized under this Act or subject
8        hereto to do, either directly or indirectly through any
9        subsidiary, any act, including the making of any loan
10        or investment, or to own, possess, or carry as assets
11        any property that if done by or owned, possessed, or
12        carried by the State bank would be in violation of or
13        prohibited by any provision of this Act.
14        The provisions of this subsection (12) shall not apply
15    to and shall not be deemed to limit the powers of a State
16    bank with respect to the ownership, possession, and
17    carrying of stock that a State bank is permitted to own,
18    possess, or carry under this Act.
19        Any bank intending to establish a subsidiary under this
20    subsection (12) shall give written notice to the
21    Commissioner 60 days prior to the subsidiary's commencing
22    of business or, as the case may be, prior to acquiring
23    stock in a corporation that has already commenced business.
24    After receiving the notice, the Commissioner may waive or
25    reduce the balance of the 60 day notice period. The
26    Commissioner may specify the form of the notice, may

 

 

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1    designate the types of subsidiaries not subject to this
2    notice requirement, and may promulgate rules and
3    regulations to administer this subsection (12).
4        (13) To accept for payment at a future date not
5    exceeding one year from the date of acceptance, drafts
6    drawn upon it by its customers; and to issue, advise, or
7    confirm letters of credit authorizing the holders thereof
8    to draw drafts upon it or its correspondents.
9        (14) To own and lease personal property acquired by the
10    bank at the request of a prospective lessee and upon the
11    agreement of that person to lease the personal property
12    provided that the lease, the agreement with respect
13    thereto, and the amount of the investment of the bank in
14    the property comply with Section 35.1 of this Act.
15        (15)(a) To establish and maintain, in addition to the
16    main banking premises, branches offering any banking
17    services permitted at the main banking premises of a State
18    bank.
19        (b) To establish and maintain, after May 31, 1997,
20    branches in another state that may conduct any activity in
21    that state that is authorized or permitted for any bank
22    that has a banking charter issued by that state, subject to
23    the same limitations and restrictions that are applicable
24    to banks chartered by that state.
25        (16) (Blank).
26        (17) To establish and maintain terminals, as

 

 

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1    authorized by the Electronic Fund Transfer Act.
2        (18) To establish and maintain temporary service
3    booths at any International Fair held in this State which
4    is approved by the United States Department of Commerce,
5    for the duration of the international fair for the sole
6    purpose of providing a convenient place for foreign trade
7    customers at the fair to exchange their home countries'
8    currency into United States currency or the converse. This
9    power shall not be construed as establishing a new place or
10    change of location for the bank providing the service
11    booth.
12        (19) To indemnify its officers, directors, employees,
13    and agents, as authorized for corporations under Section
14    8.75 of the Business Corporation Act of 1983.
15        (20) To own, possess, and carry as assets stock of, or
16    be or become a member of, any corporation, mutual company,
17    association, trust, or other entity formed exclusively for
18    the purpose of providing directors' and officers'
19    liability and bankers' blanket bond insurance or
20    reinsurance to and for the benefit of the stockholders,
21    members, or beneficiaries, or their assets or businesses,
22    or their officers, directors, employees, or agents, and not
23    to or for the benefit of any other person or entity or the
24    public generally.
25        (21) To make debt or equity investments in corporations
26    or projects, whether for profit or not for profit, designed

 

 

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1    to promote the development of the community and its
2    welfare, provided that the aggregate investment in all of
3    these corporations and in all of these projects does not
4    exceed 10% of the unimpaired capital and unimpaired surplus
5    of the bank and provided that this limitation shall not
6    apply to creditworthy loans by the bank to those
7    corporations or projects. Upon written application to the
8    Commissioner, a bank may make an investment that would,
9    when aggregated with all other such investments, exceed 10%
10    of the unimpaired capital and unimpaired surplus of the
11    bank. The Commissioner may approve the investment if he is
12    of the opinion and finds that the proposed investment will
13    not have a material adverse effect on the safety and
14    soundness of the bank.
15        (22) To own, possess, and carry as assets the stock of
16    a corporation engaged in the ownership or operation of a
17    travel agency or to operate a travel agency as a part of
18    its business.
19        (23) With respect to affiliate facilities:
20            (a) to conduct at affiliate facilities for and on
21        behalf of another commonly owned bank, if so authorized
22        by the other bank, all transactions that the other bank
23        is authorized or permitted to perform; and
24            (b) to authorize a commonly owned bank to conduct
25        for and on behalf of it any of the transactions it is
26        authorized or permitted to perform at one or more

 

 

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1        affiliate facilities.
2        Any bank intending to conduct or to authorize a
3    commonly owned bank to conduct at an affiliate facility any
4    of the transactions specified in this paragraph (23) shall
5    give written notice to the Commissioner at least 30 days
6    before any such transaction is conducted at the affiliate
7    facility.
8        (24) To act as the agent for any fire, life, or other
9    insurance company authorized by the State of Illinois, by
10    soliciting and selling insurance and collecting premiums
11    on policies issued by such company; and to receive for
12    services so rendered such fees or commissions as may be
13    agreed upon between the bank and the insurance company for
14    which it may act as agent; provided, however, that no such
15    bank shall in any case assume or guarantee the payment of
16    any premium on insurance policies issued through its agency
17    by its principal; and provided further, that the bank shall
18    not guarantee the truth of any statement made by an assured
19    in filing his application for insurance.
20        (25) Notwithstanding any other provisions of this Act
21    or any other law, to offer any product or service that is
22    at the time authorized or permitted to any insured savings
23    association or out-of-state bank by applicable law,
24    provided that powers conferred only by this subsection
25    (25):
26            (a) shall always be subject to the same limitations

 

 

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1        and restrictions that are applicable to the insured
2        savings association or out-of-state bank for the
3        product or service by such applicable law;
4            (b) shall be subject to applicable provisions of
5        the Financial Institutions Insurance Sales Law;
6            (c) shall not include the right to own or conduct a
7        real estate brokerage business for which a license
8        would be required under the laws of this State; and
9            (d) shall not be construed to include the
10        establishment or maintenance of a branch, nor shall
11        they be construed to limit the establishment or
12        maintenance of a branch pursuant to subsection (11).
13        Not less than 30 days before engaging in any activity
14    under the authority of this subsection, a bank shall
15    provide written notice to the Commissioner of its intent to
16    engage in the activity. The notice shall indicate the
17    specific federal or state law, rule, regulation, or
18    interpretation the bank intends to use as authority to
19    engage in the activity.
20        (26) Nothing in this Section shall be construed to
21    require the filing of a notice or application for approval
22    with the United States Office of the Comptroller of the
23    Currency or a bank supervisor of another state as a
24    condition to the right of a State bank to exercise any of
25    the powers conferred by this Section in this State.
26        (27) To refuse any transaction if any employee or

 

 

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1    officer of the bank, having fulfilled the training
2    requirements of subsection (g-1) of Section 3.5 of the
3    Adult Protective Services Act, reasonably believes that an
4    act of financial exploitation of an eligible adult has
5    occurred or may occur. Neither the bank nor its employees
6    or officers shall be liable for any actions taken in good
7    faith under this subsection (27).
8(Source: P.A. 98-44, eff. 6-28-13; 99-362, eff. 8-13-15.)
 
9    Section 10. The Savings Bank Act is amended by changing
10Section 1008 as follows:
 
11    (205 ILCS 205/1008)  (from Ch. 17, par. 7301-8)
12    Sec. 1008. General corporate powers.
13    (a) A savings bank operating under this Act shall be a body
14corporate and politic and shall have all of the powers
15conferred by this Act including, but not limited to, the
16following powers:
17        (1) To sue and be sued, complain, and defend in its
18    corporate name and to have a common seal, which it may
19    alter or renew at pleasure.
20        (2) To obtain and maintain insurance by a deposit
21    insurance corporation as defined in this Act.
22        (3) To act as a fiscal agent for the United States, the
23    State of Illinois or any department, branch, arm, or agency
24    of the State or any unit of local government or school

 

 

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1    district in the State, when duly designated for that
2    purpose, and as agent to perform reasonable functions as
3    may be required of it.
4        (4) To become a member of or deal with any corporation
5    or agency of the United States or the State of Illinois, to
6    the extent that the agency assists in furthering or
7    facilitating its purposes or powers and to that end to
8    purchase stock or securities thereof or deposit money
9    therewith, and to comply with any other conditions of
10    membership or credit.
11        (5) To make donations in reasonable amounts for the
12    public welfare or for charitable, scientific, religious,
13    or educational purposes.
14        (6) To adopt and operate reasonable insurance, bonus,
15    profit sharing, and retirement plans for officers and
16    employees and for directors including, but not limited to,
17    advisory, honorary, and emeritus directors, who are not
18    officers or employees.
19        (7) To reject any application for membership; to retire
20    deposit accounts by enforced retirement as provided in this
21    Act and the bylaws; and to limit the issuance of, or
22    payments on, deposit accounts, subject, however, to
23    contractual obligations.
24        (8) To purchase stock or membership interests in
25    service corporations and to invest in any form of
26    indebtedness of any service corporation as defined in this

 

 

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1    Act, subject to regulations of the Secretary.
2        (9) To purchase stock of a corporation whose principal
3    purpose is to operate a safe deposit company or escrow
4    service company.
5        (10) To exercise all the powers necessary to qualify as
6    a trustee or custodian under federal or State law, provided
7    that the authority to accept and execute trusts is subject
8    to the provisions of the Corporate Fiduciary Act and to the
9    supervision of those activities by the Secretary.
10        (11) (Blank).
11        (12) To establish, maintain, and operate terminals as
12    authorized by the Electronic Fund Transfer Act.
13        (13) To pledge its assets:
14            (A) to enable it to act as agent for the sale of
15        obligations of the United States;
16            (B) to secure deposits;
17            (C) to secure deposits of money whenever required
18        by the National Bankruptcy Act;
19            (D) (blank); and
20            (E) to secure trust funds commingled with the
21        savings bank's funds, whether deposited by the savings
22        bank or an affiliate of the savings bank, as required
23        under Section 2-8 of the Corporate Fiduciary Act.
24        (14) To accept for payment at a future date not to
25    exceed one year from the date of acceptance, drafts drawn
26    upon it by its customers; and to issue, advise, or confirm

 

 

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1    letters of credit authorizing holders thereof to draw
2    drafts upon it or its correspondents.
3        (15) Subject to the regulations of the Secretary, to
4    own and lease personal property acquired by the savings
5    bank at the request of a prospective lessee and, upon the
6    agreement of that person, to lease the personal property.
7        (16) To establish temporary service booths at any
8    International Fair in this State that is approved by the
9    United States Department of Commerce for the duration of
10    the international fair for the purpose of providing a
11    convenient place for foreign trade customers to exchange
12    their home countries' currency into United States currency
13    or the converse. To provide temporary periodic service to
14    persons residing in a bona fide nursing home, senior
15    citizens' retirement home, or long-term care facility.
16    These powers shall not be construed as establishing a new
17    place or change of location for the savings bank providing
18    the service booth.
19        (17) To indemnify its officers, directors, employees,
20    and agents, as authorized for corporations under Section
21    8.75 of the Business Corporations Act of 1983.
22        (18) To provide data processing services to others on a
23    for-profit basis.
24        (19) To utilize any electronic technology to provide
25    customers with home banking services.
26        (20) Subject to the regulations of the Secretary, to

 

 

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1    enter into an agreement to act as a surety.
2        (21) Subject to the regulations of the Secretary, to
3    issue credit cards, extend credit therewith, and otherwise
4    engage in or participate in credit card operations.
5        (22) To purchase for its own account shares of stock of
6    a bankers' bank, described in Section 13(b)(1) of the
7    Illinois Banking Act, on the same terms and conditions as a
8    bank may purchase such shares. In no event shall the total
9    amount of such stock held by a savings bank in such
10    bankers' bank exceed 10% of its capital and surplus
11    (including undivided profits) and in no event shall a
12    savings bank acquire more than 5% of any class of voting
13    securities of such bankers' bank.
14        (23) With respect to affiliate facilities:
15            (A) to conduct at affiliate facilities any of the
16        following transactions for and on behalf of any
17        affiliated depository institution, if so authorized by
18        the affiliate or affiliates: receiving deposits;
19        renewing deposits; cashing and issuing checks, drafts,
20        money orders, travelers checks, or similar
21        instruments; changing money; receiving payments on
22        existing indebtedness; and conducting ministerial
23        functions with respect to loan applications, servicing
24        loans, and providing loan account information; and
25            (B) to authorize an affiliated depository
26        institution to conduct for and on behalf of it, any of

 

 

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1        the transactions listed in this subsection at one or
2        more affiliate facilities.
3        A savings bank intending to conduct or to authorize an
4    affiliated depository institution to conduct at an
5    affiliate facility any of the transactions specified in
6    this subsection shall give written notice to the Secretary
7    at least 30 days before any such transaction is conducted
8    at an affiliate facility. All conduct under this subsection
9    shall be on terms consistent with safe and sound banking
10    practices and applicable law.
11        (24) Subject to Article XLIV of the Illinois Insurance
12    Code, to act as the agent for any fire, life, or other
13    insurance company authorized by the State of Illinois, by
14    soliciting and selling insurance and collecting premiums
15    on policies issued by such company; and may receive for
16    services so rendered such fees or commissions as may be
17    agreed upon between the said savings bank and the insurance
18    company for which it may act as agent; provided, however,
19    that no such savings bank shall in any case assume or
20    guarantee the payment of any premium on insurance policies
21    issued through its agency by its principal; and provided
22    further, that the savings bank shall not guarantee the
23    truth of any statement made by an assured in filing his
24    application for insurance.
25        (25) To become a member of the Federal Home Loan Bank
26    and to have the powers granted to a savings association

 

 

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1    organized under the Illinois Savings and Loan Act of 1985
2    or the laws of the United States, subject to regulations of
3    the Secretary.
4        (26) To offer any product or service that is at the
5    time authorized or permitted to a bank by applicable law,
6    but subject always to the same limitations and restrictions
7    that are applicable to the bank for the product or service
8    by such applicable law and subject to the applicable
9    provisions of the Financial Institutions Insurance Sales
10    Law and rules of the Secretary.
11        (27) To refuse any transaction if any employee or
12    officer of the savings bank, having fulfilled the training
13    requirements of subsection (g-1) of Section 3.5 of the
14    Adult Protective Services Act, reasonably believes that an
15    act of financial exploitation of an eligible adult has
16    occurred or may occur. Neither the savings bank nor its
17    employees or officers shall be liable for any actions taken
18    in good faith under this subsection (27).
19    (b) If this Act or the regulations adopted under this Act
20fail to provide specific guidance in matters of corporate
21governance, the provisions of the Business Corporation Act of
221983 may be used, or if the savings bank is a limited liability
23company, the provisions of the Limited Liability Company shall
24be used.
25    (c) A savings bank may be organized as a limited liability
26company, may convert to a limited liability company, or may

 

 

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1merge with and into a limited liability company, under the
2applicable laws of this State and of the United States,
3including any rules promulgated thereunder. A savings bank
4organized as a limited liability company shall be subject to
5the provisions of the Limited Liability Company Act in addition
6to this Act, provided that if a provision of the Limited
7Liability Company Act conflicts with a provision of this Act or
8with any rule of the Secretary, the provision of this Act or
9the rule of the Secretary shall apply.
10    Any filing required to be made under the Limited Liability
11Company Act shall be made exclusively with the Secretary, and
12the Secretary shall possess the exclusive authority to regulate
13the savings bank as provided in this Act.
14    Any organization as, conversion to, and merger with or into
15a limited liability company shall be subject to the prior
16approval of the Secretary.
17    A savings bank that is a limited liability company shall be
18subject to all of the provisions of this Act in the same manner
19as a savings bank that is organized in stock form.
20    The Secretary may promulgate rules to ensure that a savings
21bank that is a limited liability company (i) is operating in a
22safe and sound manner and (ii) is subject to the Secretary's
23authority in the same manner as a savings bank that is
24organized in stock form.
25(Source: P.A. 97-492, eff. 1-1-12.)
 

 

 

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1    Section 15. The Illinois Credit Union Act is amended by
2changing Section 13 as follows:
 
3    (205 ILCS 305/13)  (from Ch. 17, par. 4414)
4    Sec. 13. General powers. A credit union may:
5        (1) Make contracts; sue and be sued; and adopt and use
6    a common seal and alter the same;
7        (2) Acquire, lease (either as lessee or lessor), hold,
8    pledge, mortgage, sell and dispose of real property, either
9    in whole or in part, or any interest therein, as may be
10    necessary or incidental to its present or future operations
11    and needs, subject to such limitations as may be imposed
12    thereon in rules and regulations promulgated by the
13    Secretary; acquire, lease (either as lessee or lessor),
14    hold, pledge, mortgage, sell and dispose of personal
15    property, either in whole or in part, or any interest
16    therein, as may be necessary or incidental to its present
17    or future operations and needs;
18        (3) At the discretion of the board of directors,
19    require the payment of an entrance fee or annual membership
20    fee, or both, of any person admitted to membership;
21        (4) Receive savings from its members in the form of
22    shares of various classes, or special purpose share
23    accounts; act as custodian of its members' accounts; issue
24    shares in trust as provided in this Act;
25        (5) Lend its funds to its members and otherwise as

 

 

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1    hereinafter provided;
2        (6) Borrow from any source in accordance with policy
3    established by the board of directors to a maximum of 50%
4    of capital, surplus and reserves;
5        (7) Discount and sell any obligations owed to the
6    credit union;
7        (8) Honor requests for withdrawals or transfers of all
8    or any part of member share accounts, and any classes
9    thereof, in any manner approved by the credit union board
10    of directors;
11        (9) Sell all or a part of its assets or purchase all or
12    a part of the assets of another credit union and assume the
13    liabilities of the selling credit union, subject to the
14    prior approval of the Director, which approval shall not be
15    required in the case of loan transactions otherwise
16    authorized under applicable law;
17        (10) Invest surplus funds as provided in this Act;
18        (11) Make deposits in banks, savings banks, savings and
19    loan associations, trust companies; and invest in shares,
20    classes of shares or share certificates of other credit
21    unions;
22        (12) Assess charges and fees to members in accordance
23    with board resolution;
24        (13) Hold membership in and pay dues to associations
25    and organizations; to invest in shares, stocks or
26    obligations of any credit union organization;

 

 

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1        (14) Declare dividends and pay interest refunds to
2    borrowers as provided in this Act;
3        (15) Collect, receive and disburse monies in
4    connection with providing negotiable checks, money orders
5    and other money-type instruments, and for such other
6    purposes as may provide benefit or convenience to its
7    members, and charge a reasonable fee for such services;
8        (16) Act as fiscal agent for and receive deposits from
9    the federal government, this state or any agency or
10    political subdivision thereof;
11        (17) Receive savings from nonmembers in the form of
12    shares or share accounts in the case of credit unions
13    serving predominantly low-income members. The term "low
14    income members" shall mean those members who make less than
15    80% of the average for all wage earners as established by
16    the Bureau of Labor Statistics or those members whose
17    annual household income falls at or below 80% of the median
18    household income for the nation as established by the
19    Census Bureau. The term "predominantly" is defined as a
20    simple majority;
21        (18) Establish, maintain, and operate terminals as
22    authorized by the Electronic Fund Transfer Act;
23        (19) Subject to Article XLIV of the Illinois Insurance
24    Code, act as the agent for any fire, life, or other
25    insurance company authorized by the State of Illinois, by
26    soliciting and selling insurance and collecting premiums

 

 

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1    on policies issued by such company; and may receive for
2    services so rendered such fees or commissions as may be
3    agreed upon between the said credit union and the insurance
4    company for which it may act as agent; provided, however,
5    that no such credit union shall in any case assume or
6    guarantee the payment of any premium on insurance policies
7    issued through its agency by its principal; and provided
8    further, that the credit union shall not guarantee the
9    truth of any statement made by an assured in filing his
10    application for insurance; and
11        (20) Make reasonable contributions to civic,
12    charitable, or service organizations not organized for
13    profit; religious corporations; and fundraisers benefiting
14    persons in the credit union's service area.
15        (21) To refuse any transaction if any employee or
16    officer of the credit union, having fulfilled the training
17    requirements of subsection (g-1) of Section 3.5 of the
18    Adult Protective Services Act, reasonably believes that an
19    act of financial exploitation of an eligible adult has
20    occurred or may occur. Neither the credit union nor its
21    employees or officers shall be liable for any actions taken
22    in good faith under this subsection (21).
23(Source: P.A. 97-133, eff. 1-1-12.)
 
24    Section 99. Effective date. This Act takes effect upon
25becoming law.