ADMINISTRATIVE CODE
TITLE 38: FINANCIAL INSTITUTIONS
CHAPTER II: DEPARTMENT OF FINANCIAL AND PROFESSIONAL REGULATION
PART 1050 RESIDENTIAL MORTGAGE LICENSE ACT OF 1987
SECTION 1050.2340 ABILITY TO REPAY


 

Section 1050.2340  Ability to Repay

 

A lender offering a shared appreciation agreement is deemed to have given due regard to a borrower's ability to repay if disclosures are provided by the lender to the borrower in compliance with Section 1050.2310, provided that:

 

a)         The shared appreciation agreement does not require periodic payments prior to termination of the agreement; and

 

b)         The term of the shared appreciation agreement is no less than five years.

 

(Source:  Added at 50 Ill. Reg. 8010, effective June 1, 2026)