Full Text of SB1468 95th General Assembly
SB1468ham003 95TH GENERAL ASSEMBLY
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Financial Institutions Committee
Filed: 5/22/2007
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| AMENDMENT TO SENATE BILL 1468
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| AMENDMENT NO. ______. Amend Senate Bill 1468 on page 1, | 3 |
| line 5 by inserting "2-5, 2-10," after "1-10,"; and
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| on page 4, by inserting after line 8 the following: | 5 |
| "(815 ILCS 122/2-5)
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| Sec. 2-5. Loan terms. | 7 |
| (a) Without affecting the right of a consumer to prepay at | 8 |
| any time without cost or penalty, no payday loan may have a | 9 |
| minimum term of less than 13 days. | 10 |
| (b) No payday loan may be made to a consumer if the loan | 11 |
| would result in the consumer being indebted to one or more | 12 |
| payday lenders for a period in excess of 45 consecutive days. | 13 |
| Except as provided under Section 2-40, if a consumer has or has | 14 |
| had loans outstanding for a period in excess of 45 consecutive | 15 |
| days, no payday lender may offer or make a loan to the consumer | 16 |
| for at least 7 calendar days after the date on which the |
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| outstanding balance of all payday loans made during the 45 | 2 |
| consecutive day period is paid in full. For purposes of this | 3 |
| subsection, the term "consecutive days" means a series of | 4 |
| continuous calendar days in which the consumer has an | 5 |
| outstanding balance on one or more payday loans; however, if a | 6 |
| payday loan is made to a consumer within 6 days or less after | 7 |
| the outstanding balance of all loans is paid in full, those | 8 |
| days are counted as "consecutive days" for purposes of this | 9 |
| subsection. | 10 |
| (c) No lender may make a payday loan to a consumer if the | 11 |
| total principal amount of the loan, when combined with the | 12 |
| principal amount of all of the consumer's other outstanding | 13 |
| payday loans, exceeds $1,000 or 25% of the consumer's gross | 14 |
| monthly income, whichever is less.
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| (d) No payday loan may be made to a consumer who has an | 16 |
| outstanding balance on 2 payday loans. | 17 |
| (e) No lender may charge more than $15.50 per $100 loaned | 18 |
| on any payday loan over the term of the loan. Except as | 19 |
| provided in Section 2-25, this charge is considered fully | 20 |
| earned as of the date on which the loan is made. A fee under | 21 |
| subsection (a-5) of Section 2-10 may be imposed in addition to | 22 |
| the charge imposed under this subsection (e). | 23 |
| (f) A lender may not take or attempt to take an interest in | 24 |
| any of the consumer's personal property to secure a payday | 25 |
| loan. | 26 |
| (g) A consumer has the right to redeem a check or any other |
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| item described in the definition of payday loan under Section | 2 |
| 1-10 issued in connection with a payday loan from the lender | 3 |
| holding the check or other item at any time before the payday | 4 |
| loan becomes payable by paying the full amount of the check or | 5 |
| other item.
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| (Source: P.A. 94-13, eff. 12-6-05.) | 7 |
| (815 ILCS 122/2-10)
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| Sec. 2-10. Permitted fees. | 9 |
| (a) If there are insufficient funds to pay a check, | 10 |
| Automatic Clearing House (ACH) debit, or any other item | 11 |
| described in the definition of payday loan under Section 1-10 | 12 |
| on the day of presentment and only after the lender has | 13 |
| incurred an expense, a lender may charge a fee not to exceed | 14 |
| $25. Only one such fee may be collected by the lender with | 15 |
| respect to a particular check, ACH debit, or item even if it | 16 |
| has been deposited and returned more than once. A lender shall | 17 |
| present the check, ACH debit, or other item described in the | 18 |
| definition of payday loan under Section 1-10 for payment not | 19 |
| more than twice. A fee charged under this subsection (a) is a | 20 |
| lender's exclusive charge for late payment. | 21 |
| (a-5) A lender may charge a consumer a fee not to exceed | 22 |
| $1.50 for the verification required under Section 2-15.
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| (b) Except for the finance charges described in Section 2-5 | 24 |
| and as specifically allowed by this Section, a lender may not | 25 |
| impose on a consumer any additional finance charges, interest, |
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| fees, or charges of any sort for any purpose.
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| (Source: P.A. 94-13, eff. 12-6-05.)"; and
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| on page 10, lines 17 and 18 by changing "upon becoming law" to | 4 |
| "January 1, 2008".
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