093_HB3604

 
                                     LRB093 06849 WGH 06995 b

 1        AN ACT concerning business practices.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The Consumer  Fraud  and  Deceptive  Business
 5    Practices Act is amended by adding Section 2MM as follows:

 6        (815 ILCS 505/2MM new)
 7        Sec. 2MM.  Bill payment grace period; hospitalization.
 8        (a)  If  a  person who is or has been hospitalized for at
 9    least 10 days gives a  creditor  or  debt  collector  written
10    notice   of   the   person's   hospitalization  and  includes
11    documentation of the period of hospitalization in  accordance
12    with this Section, the creditor or debt collector shall grant
13    the  person  a  grace  period  for the payments of debts. The
14    grace period shall begin  on  the  date  the  hospitalization
15    began  and  shall  end 15 days after the patient is no longer
16    hospitalized. The grace period applies  only  to  debts  that
17    were  incurred  by  the  person  as  a  consumer (as the term
18    "consumer" is defined in subdivision (e) of Section 1 of this
19    Act).
20        (b)  Upon  receiving  notice  under  this  Section,   the
21    creditor or debt collector may not:
22             (1)  impose any late fee or additional financing fee
23        in  connection  with  a  payment  by  the  person that is
24        received after its due date but before  the  end  of  the
25        grace period;
26             (2)  provide   to  a  credit  reporting  agency  any
27        information  with  respect  to  a  payment  described  in
28        subdivision (1) that is adverse to the interests  of  the
29        person  or  would adversely affect the credit standing of
30        the person; or
31             (3)  take any other action that is  adverse  to  the
 
                            -2-      LRB093 06849 WGH 06995 b
 1        interests  of  the person as a consequence of the failure
 2        of the  person  to  make  such  a  payment  described  in
 3        subdivision  (1)  by  the  due  date,  if  the payment is
 4        received before the end of the grace period.
 5        (c)  Notice may be given during  the  hospitalization  or
 6    within  15  days  after  the end of the hospitalization. Upon
 7    receiving notice under this Section,  the  creditor  or  debt
 8    collector  must  refrain  from  taking  any action prohibited
 9    under subsection (b) during the remainder of the grace period
10    and shall promptly reverse any such action already  taken  by
11    the  creditor  or  debt  collector since the beginning of the
12    grace period.
13        (d)  If a person notifies a creditor or debt collector of
14    the hospitalization while the person is  still  hospitalized,
15    the  person  shall  promptly  notify  the  creditor  or  debt
16    collector  when  he  or  she  is discharged and shall include
17    documentation of the duration of the hospitalization.
18        (e)  A creditor  or  debt  collector  who  violates  this
19    Section  commits  an  unlawful practice within the meaning of
20    this Act.