HB3393 EngrossedLRB101 10436 JLS 55542 b


  
1    AN ACT concerning business.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  


 
4    Section 5. The Consumer Installment Loan Act is amended  by 
5changing Section 18 as follows:
 



6    (205 ILCS 670/18)  (from Ch. 17, par. 5424)



7    Sec. 18. Advertising; unsolicited checks. 
8    (a) Advertising for loans transacted under this Act may
not 
9be false, misleading or deceptive. That advertising, if it 
10states a
rate or amount of charge for a loan, must state the 
11rate
as an annual percentage rate. No licensee may advertise in 
12any manner so as to indicate or imply that
his interest rates 
13or charges for loans are in any way "recommended",
"approved", 
14"set" or "established" by the State government or by this Act.

15    (b) If any advertisement to which this Section applies 
16states the amount of
any installment payment, the dollar amount 
17of any finance charge, or the
number of installments or the 
18period of repayment, then the advertisement
shall state all of 
19the following items:

20        (1) The amount of the loan.

21        (2) The number, amount, and due dates or period of 
22    payments scheduled to
repay the indebtedness if the credit 
23    is extended.

 
 
HB3393 Engrossed- 2 -LRB101 10436 JLS 55542 b

1        (3) The rate of the finance charge expressed as an 
2    annual percentage rate.

3    (c) No person shall deliver to a consumer an unsolicited 
4check payable to the consumer that, upon cashing, obligates the 
5consumer to repay the amount of the check plus interest and 
6fees unless the check bears the following statement printed in 
718-point type in uppercase print on the face of the check: 
8"THIS IS A LOAN.".
9    This subsection does not apply to a transaction in which a 
10consumer has submitted an application for, or requested an 
11extension of, credit from the person before receiving the check 
12or instrument or when the consumer has an existing relationship 
13with the person. 
14(Source: P.A. 90-437, eff. 1-1-98.)