Sen. Terry Link

Filed: 3/10/2009

 

 


 

 


 
09600SB0252sam001 LRB096 03548 KTG 23334 a

1
AMENDMENT TO SENATE BILL 252

2     AMENDMENT NO. ______. Amend Senate Bill 252 by replacing
3 everything after the enacting clause with the following:
 
4     "Section 5. The High Risk Home Loan Act is amended by
5 changing Section 15 as follows:
 
6     (815 ILCS 137/15)
7     Sec. 15. Ability to repay. A creditor or broker shall not
8 transfer, deal in, offer, or make a high risk home loan if the
9 the creditor or broker does not believe at the time the loan is
10 consummated that the borrower will be able to make the
11 scheduled payments to repay the obligation based upon a
12 consideration of his or her current and expected income,
13 current obligations, employment status, and other financial
14 resources (other than the borrower's equity in the dwelling
15 that secures repayment of the loan). A borrower shall be
16 presumed to be able to repay the loan if, at the time the loan

 

 

09600SB0252sam001 - 2 - LRB096 03548 KTG 23334 a

1 is consummated, or at the time of the first rate adjustment, in
2 the case of a lower introductory interest rate, the borrower's
3 scheduled monthly payments on the loan (including principal,
4 interest, taxes, insurance, and assessments), combined with
5 the scheduled payments for all other disclosed debts, do not
6 exceed 50% of the borrower's monthly gross income.
7 (Source: P.A. 93-561, eff. 1-1-04.)".