SB 901 — COLLECTION AGENCY-VARIOUS

*LRB10008667SMS18802b* SB0901 100THEngrossed GENERALLRB100 ASSEMBLY08667 StateSMS of18802 Illinoisb andAN 2018ACT SB0901concerning Introducedregulation. 2/7/2017, by Sen.

Pamela J.

Althoff SYNOPSIS AS INTRODUCED:

See Index Amends the Collection Agency Act.

Allows the Secretary of Financial and Professional Regulation to require participation in a multi-state licensing system for licensing under the Act.

Allows the multi-state licensing system to charge an administrative fee.

Removes a requirement to file an annual trust account financial report.

Requires applicants and licensees to file an email address of record and allows the Department of Financial and Professional Regulation to send certain notices to the email address of record.

Provides that members of the Collection Agency Licensing and Disciplinary Board shall have no liability in any action based upon any member of the Board (rather than members of the Board shall be immune from suit in any action based upon disciplinary proceedings or other acts performed in good faith as members of the Board).

Removes a requirement that the Department maintain a roster of all active licensees under the Act and all person whose licenses have been suspended, revoked, or denied renewal under the Act.

Requires that exhibits in court proceedings under the Act shall be certified without cost.

Makes other changes.

Effective immediately.

LRB100 08667 SMS 18802 b FISCAL NOTE ACT MAY APPLY A BILL FOR SB0901 LRB100 08667 SMS 18802 b AN ACT concerning regulation.

SB0901 Engrossed - 2 - LRB100 08667 SMS 18802 b "Collection agency" means any person who, in the ordinary course of business, regularly, on behalf of himself or herself or others, engages in the collection of a debt.

"Debtor" means a person from whom a collection agency seeks SB0901 Engrossed - 3 - LRB100 08667 SMS 18802 b to collect a consumer or commercial debt that is due and owing or alleged to be due and owing from such person.

"Multi-state licensing system" means a third-partyweb-based administratorplatform ofthat allows licensure thatapplicants processesto submit their applications and renewals andto maintainsthe multi-stateDepartment records.online.

(1) provide a valid address and email address to the Department, which shall serve as the address of record and SB0901 Engrossed - 4 - LRB100 08667 SMS 18802 b email address orof record, respectively, at the time of application for licensure or renewal of a license;

(2) the names and addresses of the officers of the SB0901 Engrossed - 5 - LRB100 08667 SMS 18802 b collection agency and, if the collection agency is a corporation, the names and addresses of all persons owning 10% or more of the stock of such corporation, if the collection agency is a partnership, the names and addresses of all partners of the partnership holding a 10% or more interest in the partnership, if the collection agency is a limited liability company, the names and addresses of all members holding 10% or more interest in the limited liability company, and if the collection agency is any other legal business entity, the names and addresses of all persons owning 10% or more interest in the entity;

and not have been officers and owners of 10% or more interest of a former licensee or SB0901 Engrossed - 6 - LRB100 08667 SMS 18802 b registrant under this Act whose license was licenses or certificates were suspended or revoked without subsequent restoration reinstatement.

(a) Each licensed collection agency shall at all times maintain a separate bank account in which all monies SB0901 Engrossed - 7 - LRB100 08667 SMS 18802 b received on debts shall be deposited, referred to as a "Trust Account", except that negotiable instruments received may be forwarded directly to a creditor if such procedure is provided for by a writing executed by the creditor.

(d) Each collection agency shall keep on file the name of the bank, savings and loan association, or other recognized SB0901 Engrossed - 8 - LRB100 08667 SMS 18802 b depository in which each trust account is maintained, the name of each trust account, and the names of the persons authorized to withdraw funds from each account.

For the purposes of this Act the notice required under Section 10-25 of the Administrative Procedure Act is deemed sufficient when mailed or emailed to the applicant or licensee at the address of record or email address SB0901 Engrossed - 9 - LRB100 08667 SMS 18802 b of record of a party.

No Board member SB0901 Engrossed - 10 - LRB100 08667 SMS 18802 b shall be appointed to more than 2 full consecutive terms.

The Department shall exercise the powers and duties prescribed by the Civil Administrative Code of Illinois for the administration of licensing Acts and shall exercise such other powers and duties SB0901 Engrossed - 11 - LRB100 08667 SMS 18802 b necessary for effectuating the purposes of this Act.

8-3-15.) (225 ILCS 425/16) SB0901 Engrossed - 12 - LRB100 08667 SMS 18802 b (Section scheduled to be repealed on January 1, 2026) Sec.

Nothing in this Section shall be construed to require that a hearing be SB0901 Engrossed - 13 - LRB100 08667 SMS 18802 b commenced and completed in one day.

The notice of hearing, complaint, all other documents in the nature of pleadings, written motions filed in the proceedings, the transcript of testimony, the report of the Board, and orders of the Department shall be in SB0901 Engrossed - 14 - LRB100 08667 SMS 18802 b the record of the proceedings.

A collection agency whose license has expired SB0901 Engrossed - 15 - LRB100 08667 SMS 18802 b may restore reinstate its license at any time within 5 years after the expiration thereof, by making a renewal application and by paying the required fee.

SB0901 Engrossed - 16 - LRB100 08667 SMS 18802 b INDEX Statutes amended in order of appearance 225 ILCS 425/2 from Ch.