IllinoisHB4537104th General Assembly (2025–2026)HouseWALLET

LOC GOV-CREDIT CARD AGREEMENTS

Sponsored By: Sponsor information unavailable

Signed by Governor

Summary

Amends the Local Governmental Acceptance of Credit Cards Act. Provides that the governing body of a governmental entity accepting payment by credit card may enter into agreements with third-party software providers for the purpose of ensuring that the governmental entity receives the correct remittance for payment. Provides that, if a governmental entity enters into an agreement with one or more financial institutions or other service providers to facilitate the acceptance and processing of credit card payments, then the agreement may not restrict or prevent the governmental entity from using the payment processing system outlined in the State Treasurer Act or any other payment processing system that the governmental entity has procured. Effective immediately.

financial institutions and licensingassignmentsrevenue & finance

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 3 benefits, 0 costs, 4 mixed.

More time and notice for homeowners

For tax certificates issued on or after the law’s effective date, most owners have 3 years to redeem a property, up from 2.5 years. Vacant non-farm properties, buildings with 7 or more homes, and commercial or industrial properties keep a 1-year period. Notices explain the risk of losing the property, possible eviction and added costs, and how to get help from housing counselors. Owners and occupants get required notices 3 to 6 months before redemption ends, and eligible owner-occupants can challenge a residential auction sale without a bond equal to the winning bid.

County power over delinquent properties

Counties acting for taxing districts can acquire, manage, and sell tax-delinquent property, and assign tax certificates. A county can seek a tax deed without a judicial auction, but must offer the property at a public auction within 120 days after recording the deed; under that process, the former owner gets no surplus unless a bid exceeds the judgment. In counties with at least 3,000,000 people, the county must offer to acquire every property at qualifying tax sales beginning with the seventh sale after the law’s effective date; smaller counties may offer to buy listed properties. Large counties can also choose a pilot for their first 6 tax sales, acquiring certificates for up to 100 eligible homestead properties per sale, and sale notices must identify county purchase plans. Cook County must file its application for judgment for the 2024 annual tax sale by April 1, 2027.

Payments for lost property equity

A former owner who suffered a loss because a tax deed was issued can seek an award from the county surplus equity fund. The award is limited by the property’s fair cash value when the deed was issued, less certain debts, taxes, auction proceeds, and other recoveries. The county must pay an unpaid part of a court-ordered award within 12 months if the fund lacks enough money. A prior surplus refund can bar an indemnity award for the same property, and county boards set how much to keep in the fund until potential claims are paid.

More protection in distressed home sales

The law covers more buyers who solicit owners of distressed homes, including buyers who do not let the owner stay or offer a future ownership interest. Contracts must warn owners that they may have a right to money for lost equity when unpaid property taxes put the home at risk. They must also explain that selling can end the owner’s right to claim surplus money and advise the owner to speak with a lawyer before selling.

Tax deed auctions and surplus claims

Tax deed auction notices give owners auction details and time to prepare; large counties must include legal-rights information in Spanish, Polish, and Mandarin Chinese. Bidding starts at the judgment amount plus applicable interest and auction costs, and the property must be offered within 120 days after the court orders an auction. If a bid exceeds the judgment, the extra money goes to the county treasurer, who must notify eligible claimants. The former owner generally has 3 years from the notice date to claim surplus money and its earned interest; if no one bids the minimum, the petitioner wins and the property is treated as having no surplus equity.

Tax deed buyers face added costs

Tax deed judgments accrue interest at 0.75% per month or part of a month until auction; after 120 days, interest continues only when legal action by the owner or another interested party caused the delay. Tax-sale buyers and certificate holders pay fees, including a $500 or $1,000 deed-issuance fee and a nonrefundable 10% fee on certain later tax payments after redemption ends. Certificate holders also pay $80 for each year they pay and post later taxes. When a county offers to buy property for the amount due, it takes priority over other offers and has a 0.75% monthly penalty bid; covered tax deeds do not owe municipal transfer stamps or transfer taxes.

Corrections for mistaken tax sales

The law adds ways to correct certain tax sales that were made in error. A court must declare some older certificates to be in error when the certificate holder applies and the certificate meets the stated conditions. County collectors can also correct certain mobile-home sales, including cases involving a double charge or a timely payment applied to the wrong account. Before a tax deed issues, a collector can declare certain county-held sales to be in error with clear and convincing evidence; some cases also require assessment-officer approval.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

  • Celina Villanueva

    Democratic • Senate

  • Curtis J. Tarver, II

    Democratic • House

  • Elgie R. Sims, Jr.

    Democratic • Senate

  • Emanuel "Chris" Welch

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 485 • No: 131

House vote • 5/30/2026

Senate Floor Amendment No. 3 House Concurs

Yes: 80 • No: 35

House vote • 5/30/2026

Senate Floor Amendment No. 1 House Concurs

Yes: 80 • No: 35

House vote • 5/30/2026

Senate Floor Amendment No. 2 House Concurs

Yes: 80 • No: 35

House vote • 5/29/2026

Senate Floor Amendment No. 1 Motion to Concur Recommends Be Adopted Revenue & Finance Committee;

Yes: 13 • No: 7

House vote • 5/29/2026

Senate Floor Amendment No. 2 Motion to Concur Recommends Be Adopted Revenue & Finance Committee;

Yes: 13 • No: 7

House vote • 5/29/2026

Senate Floor Amendment No. 3 Motion to Concur Recommends Be Adopted Revenue & Finance Committee;

Yes: 13 • No: 7

Senate vote • 5/28/2026

Third Reading - Passed;

Yes: 56 • No: 1 • Other: 1

Senate vote • 5/27/2026

Senate Floor Amendment No. 2 Recommend Do Adopt Revenue;

Yes: 10 • No: 0

Senate vote • 5/13/2026

Senate Floor Amendment No. 1 Recommend Do Adopt Executive;

Yes: 9 • No: 4

House vote • 4/8/2026

Third Reading - Short Debate - Passed

Yes: 110 • No: 0

House vote • 3/24/2026

House Floor Amendment No. 2 Recommends Be Adopted Financial Institutions and Licensing Committee;

Yes: 12 • No: 0

House vote • 3/18/2026

Do Pass / Short Debate Financial Institutions and Licensing Committee;

Yes: 9 • No: 0

Actions Timeline

  1. Public Act . . . . . . . . . 104-0553

    7/10/2026House
  2. Effective Date July 10, 2026

    7/10/2026House
  3. Governor Approved

    7/10/2026House
  4. Sent to the Governor

    6/26/2026House
  5. Added as Alternate Chief Co-Sponsor Sen. Elgie R. Sims, Jr.

    6/1/2026Senate
  6. Passed Both Houses

    5/30/2026House
  7. House Concurs

    5/30/2026House
  8. Senate Floor Amendment No. 3 House Concurs 080-035-000

    5/30/2026House
  9. Senate Floor Amendment No. 2 House Concurs 080-035-000

    5/30/2026House
  10. Senate Floor Amendment No. 1 House Concurs 080-035-000

    5/30/2026House
  11. Added Chief Co-Sponsor Rep. Emanuel "Chris" Welch

    5/30/2026House
  12. Senate Floor Amendment No. 3 Motion to Concur Recommends Be Adopted Revenue & Finance Committee; 013-007-000

    5/29/2026House
  13. Senate Floor Amendment No. 2 Motion to Concur Recommends Be Adopted Revenue & Finance Committee; 013-007-000

    5/29/2026House
  14. Senate Floor Amendment No. 1 Motion to Concur Recommends Be Adopted Revenue & Finance Committee; 013-007-000

    5/29/2026House
  15. Removed Co-Sponsor Rep. Edgar González, Jr.

    5/29/2026House
  16. Removed Co-Sponsor Rep. Dave Vella

    5/29/2026House
  17. Removed Co-Sponsor Rep. Justin Cochran

    5/29/2026House
  18. Removed Co-Sponsor Rep. Anthony DeLuca

    5/29/2026House
  19. Chief Sponsor Changed to Rep. Curtis J. Tarver, II

    5/29/2026House
  20. Senate Floor Amendment No. 3 Motion to Concur Rules Referred to Revenue & Finance Committee

    5/29/2026House
  21. Senate Floor Amendment No. 2 Motion to Concur Rules Referred to Revenue & Finance Committee

    5/29/2026House
  22. Senate Floor Amendment No. 1 Motion to Concur Rules Referred to Revenue & Finance Committee

    5/29/2026House
  23. Senate Floor Amendment No. 3 Motion to Concur Referred to Rules Committee

    5/29/2026House
  24. Senate Floor Amendment No. 2 Motion to Concur Referred to Rules Committee

    5/29/2026House
  25. Senate Floor Amendment No. 1 Motion to Concur Referred to Rules Committee

    5/29/2026House

Bill Text

  • Engrossed

  • Enrolled

  • House Amendment 1

  • House Amendment 2

  • Introduced

  • Senate Amendment 1

  • Senate Amendment 2

  • Senate Amendment 3

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