Chapter 205, FINANCIAL REGULATION

(205 ILCS 635/5-12.5) Sec. 5-12.5. Shared appreciation agreement consumer counseling and disclosures. (a) Notwithstanding any provision in this Act to the contrary, before taking any legally binding action on a shared appreciation agreement, the borrower or borrowers shall be pro…

(205 ILCS 635/5-14) Sec. 5-14. Prohibition on equity stripping and loan flipping. No licensee may engage in equity stripping or loan flipping, as those terms are defined in the Illinois Fairness in Lending Act. (Source: P.A. 95-691, eff. 6-1-08.)

(205 ILCS 635/5-15) Sec. 5-15. Prohibition on financing certain insurance premiums. No licensee may make, provide, or arrange for a residential mortgage loan that finances, directly or indirectly, any credit life, credit disability, or credit unemployment insurance; however, insu…

(205 ILCS 511/5-15) Sec. 5-15. Application form. (a) Application for a pawnbroker license must be made in accordance with Section 5-20 and, if applicable, in accordance with requirements of the Nationwide Multistate Licensing System and Registry. The application shall be in writi…

(205 ILCS 635/5-16) Sec. 5-16. Prohibition on encouraging default. A licensee may not recommend or encourage default or the failure to make timely payments on an existing residential mortgage loan or other debt prior to and in connection with the closing or planned closing of a r…

(205 ILCS 635/5-17) Sec. 5-17. Severability. If any provision of this Act or its application to any person or circumstance is held invalid, the invalidity of that provision or application does not affect other provisions or applications of this Act that can be given effect withou…

(205 ILCS 658/5-2) Sec. 5-2. Consistent State licensing. (a) To establish consistent licensing between this State and other states, the Secretary is authorized and encouraged to: (1) implement all licensing provisions of this Act in a manner that is consistent with other states t…

(205 ILCS 620/5-2) (from Ch. 17, par. 1555-2) Sec. 5-2. Examinations of corporate fiduciaries. (a) The Commissioner, no less frequently than 18 months following the preceding examination, and whenever in his judgment it is necessary or expedient, either personally or by one or mo…

(205 ILCS 511/5-20) Sec. 5-20. Pawnbroker license application and issuance. (a) Applicants for a license shall apply in a form prescribed by the Secretary. Each form shall contain content as set forth by rule, regulation, instruction, or procedure of the Department or Secretary a…

(205 ILCS 511/5-25) Sec. 5-25. Prohibited acts and practices for licensees. (a) It is a violation of this Act for a licensee subject to this Act to: (1) fail to file with the Secretary or Nationwide Multistate Licensing System and Registry, as applicable, when due, any report or …

(205 ILCS 620/5-3) (from Ch. 17, par. 1555-3) Sec. 5-3. Violations; orders. (a) Whenever it appears to the Commissioner from any examination, statement of condition or report, that any corporate fiduciary has committed any violation of law, has made or published a false statement…

(205 ILCS 658/5-3) Sec. 5-3. Application for license. (a) Applicants for a license shall apply in a form and in a medium as prescribed by the Secretary. Each such form shall contain content as set forth by rule, regulation, instruction or procedure of the Secretary and may be cha…

(205 ILCS 511/5-30) Sec. 5-30. Refusal to issue license. The Secretary shall refuse to issue or renew a license if: (1) it is determined that the applicant is not in compliance with any provisions of this Act; (2) there is substantial continuity between the applicant and any viol…

(205 ILCS 511/5-35) Sec. 5-35. License issuance and renewal; fees. (a) Licenses shall be renewed every year using the common renewal date of the Nationwide Multistate Licensing System and Registry, as adopted by the Secretary. Properly completed renewal application forms and fili…

(205 ILCS 658/5-4) Sec. 5-4. Information requirements for certain individuals. (a) Any individual in control of a licensee or applicant, any individual that seeks to acquire control of a licensee, and each key individual shall furnish to the Secretary through NMLS the following i…

(205 ILCS 620/5-4) (from Ch. 17, par. 1555-4) Sec. 5-4. If the Commissioner has satisfactory evidence that any statement of condition or other report required or authorized by this Act, made by any officer or officers of a corporate fiduciary is false, the Commissioner may revoke…

(205 ILCS 511/5-5) Sec. 5-5. Licensee name. (a) No person, partnership, association, corporation, limited liability company, or other entity engaged in the business regulated by this Act shall operate the business under a name other than the real names of the entity and individua…

(205 ILCS 658/5-5) Sec. 5-5. Issuance of license. (a) When an application for an original license under this Act appears to include all the items and addresses of all of the matters that are required, the application is complete and the Secretary shall promptly notify the applica…

(205 ILCS 620/5-5) (from Ch. 17, par. 1555-5) Sec. 5-5. A special meeting of the board of directors may be held upon call by the Commissioner or an examiner appointed under the provisions of this Act, upon not less than 12 hours notice of such meeting by personal service of such …

(205 ILCS 635/5-5A) Sec. 5-5A. Violations of the Reverse Mortgage Act. Any violation of the Reverse Mortgage Act by a residential mortgage licensee shall be considered a violation of this Act. (Source: P.A. 99-331, eff. 1-1-16.)

(205 ILCS 658/5-6) Sec. 5-6. Renewal of license. (a) A license under this Act shall be renewed annually. (b) An annual renewal fee in accordance with 38 Ill. Adm. Code 205.35 as amended or recodified from time to time shall be paid to the Department. The renewal term shall be for…

(205 ILCS 620/5-6) (from Ch. 17, par. 1555-6) Sec. 5-6. Removal orders. Whenever, in the opinion of the Secretary, any director, officer, employee, or agent of a corporate fiduciary or subsidiary or corporate parent of the corporate fiduciary shall have violated any law, rule, or…

(205 ILCS 635/5-6) Sec. 5-6. Verification of borrower's ability to repay. (a) No licensee may make, provide, or arrange for a residential mortgage loan without verifying the borrower's reasonable ability to pay the principal and interest on the loan, real estate taxes, homeowner'…

(205 ILCS 635/5-7) Sec. 5-7. Broker agency relationship. (a) A mortgage broker shall be considered to have created an agency relationship with the borrower in all cases and shall comply with the following duties: (1) A mortgage broker shall act in the borrower's best interest and…

(205 ILCS 658/5-7) Sec. 5-7. Maintenance of license. (a) If a licensee does not continue to meet the qualifications or satisfy the requirements that apply to an applicant for a new money transmission license, the Secretary may suspend or revoke the licensee's license in accordanc…

(205 ILCS 620/5-7) (from Ch. 17, par. 1555-7) Sec. 5-7. Any person or corporate fiduciary affected by any action under this Act, other than under Section 5-6, may request a hearing before the Commissioner within 10 days after receipt of notice of such action. The hearing shall be…

(205 ILCS 635/5-8) Sec. 5-8. Prepayment penalties. (a) No licensee may make, provide, or arrange a mortgage loan with a prepayment penalty unless the licensee offers the borrower a loan without a prepayment penalty, the offer is in writing, and the borrower initials the offer to …

(205 ILCS 620/5-8) (from Ch. 17, par. 1555-8) Sec. 5-8. All final administrative decisions of the Secretary shall be subject to review pursuant to the provisions of the Administrative Review Law, as now or hereafter amended, and the rules adopted pursuant thereto. For matters inv…

(205 ILCS 658/5-8) Sec. 5-8. Fees. (a) The expenses of administering this Act, including investigations and examinations provided for in this Act, shall be borne by and assessed against entities regulated by this Act. The Department may establish fees by rule, including in the fo…

(205 ILCS 635/5-8.5) Sec. 5-8.5. Arrearage payments. When a mortgagor is in arrears more than one month, no licensee shall refuse to accept any payments offered by the mortgagor in whole month payment amounts. Such payments shall be applied to the unpaid balance in the manner pro…

(205 ILCS 620/5-9) (from Ch. 17, par. 1555-9) Sec. 5-9. Statement of condition. (a) Each corporate fiduciary shall file with the Commissioner, when requested, a statement under oath, of the condition of such corporate fiduciary as of the date requested. The statement of condition…

(205 ILCS 658/5-9) Sec. 5-9. Liability of licensees. A licensee is liable for the payment of all moneys covered by payment instruments that it sells or issues in any form in this State through its authorized delegate and all moneys it receives itself or through its authorized del…

(205 ILCS 635/5-9) Sec. 5-9. Notice of change in loan terms. (a) No licensee may fail to do either of the following: (1) Provide timely notice to the borrower of any material change in the terms of the residential mortgage loan prior to the closing of the loan. For purposes of th…

(205 ILCS 5/50) (from Ch. 17, par. 362) Sec. 50. Commissioner's proceedings exclusive. Except by the authority of the Commissioner, represented by the Attorney General, or the Federal Deposit Insurance Corporation pursuant to the Federal Deposit Insurance Act, no complaint shall …

(205 ILCS 616/50) Sec. 50. Terminal requirements. (a) To assure maximum safety and security against malfunction, fraud, theft, and other accidents or abuses and to assure that all access devices will have the capability of activating all terminals established in this State, no te…

(205 ILCS 305/50) (from Ch. 17, par. 4451) Sec. 50. Line of credit. (1) A credit union may grant a self-replenishing line of credit to a member up to a stated maximum amount. The terms and conditions upon which a line of credit is extended to any member may be different from the …

(205 ILCS 740/50) (was 225 ILCS 425/50) Sec. 50. Consent order. At any point in the proceedings as provided in Sections 9.5, 11, 14a, 16, and 45, both parties may agree to a negotiated consent order. The consent order shall be final upon signature of the Secretary. (Source: P.A. …

(205 ILCS 5/51) (from Ch. 17, par. 363) Sec. 51. Capital impairment, etc.; correction. (a) If the Commissioner with respect to a State bank shall find: (1) its capital is impaired or it is otherwise in an unsound condition; or (2) its business is being conducted in an unlawful, i…

(205 ILCS 305/51) (from Ch. 17, par. 4452) Sec. 51. Other loan programs. (1) Subject to such rules and regulations as the Secretary may promulgate, a credit union may participate in loans to credit union members jointly with other credit unions, corporations, or financial institu…

(205 ILCS 305/52) (from Ch. 17, par. 4453) Sec. 52. Loans to directors, officers, credit committee, and supervisory committee members. A credit union may make loans to its directors, officers, credit committee members, and supervisory committee members, provided that the loan com…

(205 ILCS 5/52) (from Ch. 17, par. 364) Sec. 52. Capital impairment, etc.; emergency. If, in addition to a finding as provided in Section 51, the Commissioner shall be of the opinion and shall find that an emergency exists which may result in the inability of the bank to continue…

(205 ILCS 5/53) (from Ch. 17, par. 365) Sec. 53. Commissioner's possession; power. The Commissioner may take possession and control of a state bank and its assets, by posting upon the premises a notice reciting that he is assuming possession pursuant to this Act, and the time whe…

(205 ILCS 305/53) (from Ch. 17, par. 4454) Sec. 53. Loans to credit unions. A credit union may make loans to other credit unions if so provided and within the limits set forth in a policy adopted by the board of directors. (Source: P.A. 100-361, eff. 8-25-17.)

(205 ILCS 5/54) (from Ch. 17, par. 366) Sec. 54. Commissioner's possession; limitation of actions. Except when the Federal Deposit Insurance Corporation has taken possession of the bank or is acting as receiver, if the Commissioner has taken possession and control of a state bank…

(205 ILCS 305/54) (from Ch. 17, par. 4455) Sec. 54. Loans to associations. A credit union may make loans to any credit union association or corporation, of which the credit union is a member or shareholder, except that the aggregate of all such loans shall not exceed 5% of the as…

(205 ILCS 740/55) (was 225 ILCS 425/55) Sec. 55. Confidentiality. All information collected by the Department in the course of an examination or investigation of a licensee or applicant, including, but not limited to, any complaint against a licensee filed with the Department and…

(205 ILCS 305/55) (from Ch. 17, par. 4456) Sec. 55. Insurance for members. (1) A credit union may purchase or make available insurance for its members. (2) A credit union may enter into cooperative marketing arrangements to facilitate its members' voluntary purchase of insurance …

(205 ILCS 5/55) (from Ch. 17, par. 367) Sec. 55. Reorganization. The Commissioner, while in possession and control of a state bank and its assets, after according such hearing to interested parties as he may determine and upon the order of the court, may propose a reorganization …

(205 ILCS 616/55) Sec. 55. Applicability of federal law. (a) The provisions of the federal Electronic Fund Transfer Act (15 U.S.C. 1693a et seq.), amendments to that Act, and any regulations issued or that may be issued under that Act, except for those provisions, amendments, or …

(205 ILCS 305/56) (from Ch. 17, par. 4457) Sec. 56. Liability insurance for directors and officers. A credit union may purchase and maintain insurance on behalf of any person who is or was a director, officer, committee member, employee or agent of the credit union as a director,…