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| 1 | AMENDMENT TO HOUSE BILL 3393
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| 2 | AMENDMENT NO. ______. Amend House Bill 3393 by replacing | ||||||
| 3 | everything after the enacting clause with the following:
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| 4 | "Section 5. The Consumer Installment Loan Act is amended by | ||||||
| 5 | changing Section 18 as follows:
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| 6 | (205 ILCS 670/18) (from Ch. 17, par. 5424)
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| 7 | Sec. 18. Advertising; unsolicited checks. | ||||||
| 8 | (a) Advertising for loans transacted under this Act may
not | ||||||
| 9 | be false, misleading or deceptive. That advertising, if it | ||||||
| 10 | states a
rate or amount of charge for a loan, must state the | ||||||
| 11 | rate
as an annual percentage rate. No licensee may advertise in | ||||||
| 12 | any manner so as to indicate or imply that
his interest rates | ||||||
| 13 | or charges for loans are in any way "recommended",
"approved", | ||||||
| 14 | "set" or "established" by the State government or by this Act.
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| 15 | (b) If any advertisement to which this Section applies | ||||||
| 16 | states the amount of
any installment payment, the dollar amount | ||||||
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| 1 | of any finance charge, or the
number of installments or the | ||||||
| 2 | period of repayment, then the advertisement
shall state all of | ||||||
| 3 | the following items:
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| 4 | (1) The amount of the loan.
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| 5 | (2) The number, amount, and due dates or period of | ||||||
| 6 | payments scheduled to
repay the indebtedness if the credit | ||||||
| 7 | is extended.
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| 8 | (3) The rate of the finance charge expressed as an | ||||||
| 9 | annual percentage rate.
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| 10 | (c) No person shall deliver to a consumer an unsolicited | ||||||
| 11 | check payable to the consumer that, upon cashing, obligates the | ||||||
| 12 | consumer to repay the amount of the check plus interest and | ||||||
| 13 | fees unless the check bears the following statement printed in | ||||||
| 14 | 18-point type in uppercase print on the face of the check: | ||||||
| 15 | "THIS IS A LOAN.". | ||||||
| 16 | This subsection does not apply to a transaction in which a | ||||||
| 17 | consumer has submitted an application for, or requested an | ||||||
| 18 | extension of, credit from the person before receiving the check | ||||||
| 19 | or instrument or when the consumer has an existing relationship | ||||||
| 20 | with the person. | ||||||
| 21 | (Source: P.A. 90-437, eff. 1-1-98.)".
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