HR0962 93RD GENERAL ASSEMBLY

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HOUSE RESOLUTION

WHEREAS, The recently announced merger agreement between JP Morgan Chase and Co. and Bank One Corporation raises concerns about the role of major banks in the payday loan industry; and

WHEREAS, Mega-bank mergers raise concerns about the ability of the regulatory system to effectively regulate behemoth banking institutions; and

WHEREAS, Banks in Illinois provide financing for payday loan operations; and

WHEREAS, Alternatives to payday loans exist but are not currently offered by major banks in Illinois; and

WHEREAS, The payday loan industry in Illinois has grown exponentially in recent years; therefore, be it

RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE NINETY-THIRD GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that, given the economic impact this proposed merger will have on the Illinois economy, we urge the federal regulatory authorities to only approve the merger with adequate conditions attached to protect consumers and small businesses; and be it further

RESOLVED, That the banks of Illinois are called upon to offer alternatives to payday loans; and be it further

RESOLVED, That the Treasurer of the State of Illinois is urged to deny contracts for State deposits of monies with banks that provide financing of payday loans.