Section 160.570  Mortgage Awareness Program

a)         The Mortgage Awareness Program is a counseling and educational program that is provided by the Director.

b)         The minimum requirements for the core curriculum of the Mortgage Awareness Program shall include:

1)         Explanation of the amount financed;

2)         Explanation of the finance charge;

3)         Explanation of the annual percentage rate;

4)         Explanation of the total payments;

5)         Explanation of the loan costs, including broker's fees, finance charges, points, origination fees and all other charges and fees;

6)         Explanation of any right of rescission;

7)         Explanation of foreclosure procedures;

8)         Explanation of the debt ratio, including total debt to income ratio, loan debt to income ratio, and loan debt to value of residence;

9)         Explanation of adjustable rate mortgage;

10)         Explanation of balloon payments;

11)         Explanation of credit options;

12)         Explanation of each item that appears on the good faith estimate;

13)         Explanation of pre-payment penalties.

c)         Counseling session attendees must also complete a personal income and expense statement, as well as a balance sheet, on forms provided by the Director.

d)         Prior to issuing a certificate of completion, counselors shall privately meet and discuss with each attendee that attendee's income and expense statement and balance sheet, as well as the terms of any loan the attendee currently has or is contemplating.

e)         Counseling session attendees must also be provided with a brochure that contains information covered by the Mortgage Awareness Program.

(Source:  Added at 25 Ill. Reg. 6261, effective May 17, 2001)