99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB0324

 

Introduced , by Rep. Carol A. Sente

 

SYNOPSIS AS INTRODUCED:
 
765 ILCS 77/72

    Amends the Predatory Lending Database Article of the Residential Real Property Disclosure Act. Provides that if a borrower applies for a loan lacking certain features, the information required to be submitted by a broker or originator for inclusion in the predatory lending database is limited to the borrower's name, address, social security number or taxpayer identification number, date of birth, and any other borrower contact information required by the Department of Financial and Professional Regulation by rule.


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A BILL FOR

 

HB0324LRB099 03567 HEP 23575 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Residential Real Property Disclosure Act is
5amended by changing Section 72 as follows:
 
6    (765 ILCS 77/72)
7    Sec. 72. Originator; required information.
8    (a) Except as otherwise provided in this Section, as As
9part of the predatory lending database program, the broker or
10originator must submit all of the following information for
11inclusion in the predatory lending database for each loan for
12which the originator takes an application:
13        (1) The borrower's name, address, social security
14    number or taxpayer identification number, date of birth,
15    and income and expense information, including total
16    monthly consumer debt, contained in the mortgage
17    application.
18        (2) The address, permanent index number, and a
19    description of the collateral and information about the
20    loan or loans being applied for and the loan terms,
21    including the amount of the loan, the rate and whether the
22    rate is fixed or adjustable, amortization or loan period
23    terms, and any other material terms.

 

 

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1        (3) The borrower's credit score at the time of
2    application.
3        (4) Information about the originator and the company
4    the originator works for, including the originator's
5    license number and address, fees being charged, whether the
6    fees are being charged as points up front, the yield spread
7    premium payable outside closing, and other charges made or
8    remuneration required by the broker or originator or its
9    affiliates or the broker's or originator's employer or its
10    affiliates for the mortgage loans.
11        (5) Information about affiliated or third party
12    service providers, including the names and addresses of
13    appraisers, title insurance companies, closing agents,
14    attorneys, and realtors who are involved with the
15    transaction and the broker or originator and any moneys
16    received from the broker or originator in connection with
17    the transaction.
18        (6) All information indicated on the Good Faith
19    Estimate and Truth in Lending statement disclosures given
20    to the borrower by the broker or originator.
21        (7) Annual real estate taxes for the property, together
22    with any assessments payable in connection with the
23    property to be secured by the collateral and the proposed
24    monthly principal and interest charge of all loans to be
25    taken by the borrower and secured by the property of the
26    borrower.

 

 

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1        (8) Information concerning how the broker or
2    originator obtained the client and the name of its referral
3    source, if any.
4        (9) Information concerning the notices provided by the
5    broker or originator to the borrower as required by law and
6    the date those notices were given.
7        (10) Information concerning whether a sale and
8    leaseback is contemplated and the names of the lessor and
9    lessee, seller, and purchaser.
10        (11) Any and all financing by the borrower for the
11    subject property within 12 months prior to the date of
12    application.
13        (12) Loan information, including interest rate, term,
14    purchase price, down payment, and closing costs.
15        (13) Whether the buyer is a first-time homebuyer or
16    refinancing a primary residence.
17        (14) Whether the loan permits interest only payments.
18        (15) Whether the loan may result in negative
19    amortization.
20        (16) Whether the total points and fees payable by the
21    borrowers at or before closing will exceed 5%.
22        (17) Whether the loan includes a prepayment penalty,
23    and, if so, the terms of the penalty.
24        (18) Whether the loan is an ARM.
25    All information entered into the predatory lending
26database must be true and correct to the best of the

 

 

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1originator's knowledge. The originator shall, prior to
2closing, correct, update, or amend the data as necessary. If
3any corrections become necessary after the file has been
4accessed by the closing agent or housing counselor, a new file
5must be entered.
6    If none of the factors described in items (14) through (18)
7apply to an individual borrower, the Department shall require
8the broker or originator to submit only the borrower's name,
9address, social security number or taxpayer identification
10number, date of birth, and any other borrower contact
11information required by the Department by rule.
12(Source: P.A. 97-891, eff. 1-1-13; 98-1081, eff. 1-1-15.)