State of Illinois
91st General Assembly
Legislation

   [ Search ]   [ Legislation ]
[ Home ]   [ Back ]   [ Bottom ]


[ Introduced ][ Enrolled ]

91_SB0801eng

 
SB801 Engrossed                                LRB9100146ACsb

 1        AN ACT to amend the Collection  Agency  Act  by  changing
 2    Section 9.

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

 5        Section 5.  The  Collection  Agency  Act  is  amended  by
 6    changing Section 9 as follows:

 7        (225 ILCS 425/9) (from Ch. 111, par. 2012)
 8        Sec. 9.  (a) The Department may refuse to issue or renew,
 9    or may revoke, suspend, place on probation, reprimand or take
10    other  disciplinary action as the Department may deem proper,
11    including  fines  not  to  exceed  $1,000  per  licensee  per
12    complaint, for any one or any combination  of  the  following
13    causes:
14             (1)  Violations   of   this  Act  or  of  the  rules
15        promulgated hereunder.
16             (2)  Conviction of  the  collection  agency  or  the
17        principals  of  the agency of any crime under the laws of
18        any U.S. jurisdiction which is a felony, a misdemeanor an
19        essential element of which is dishonesty, or of any crime
20        which directly relates to the practice of the profession.
21             (3)  Making any misrepresentation for the purpose of
22        obtaining a license or certificate.
23             (4)  Habitual  or  excessive  use  or  addiction  to
24        alcohol, narcotics,  stimulants  or  any  other  chemical
25        agent  or drug which results in the inability to practice
26        with reasonable judgment, skill, or safety by any of  the
27        principals of a collection agency.
28             (5)  Discipline  by  another  U.S.  jurisdiction  or
29        foreign  nation,  if  at least one of the grounds for the
30        discipline is the same  or  substantially  equivalent  to
31        those set forth in this Act.
 
SB801 Engrossed             -2-                LRB9100146ACsb
 1             (6)  A  finding by the Department that the licensee,
 2        after having his license placed on  probationary  status,
 3        has violated the terms of probation.
 4             (7)  Practicing  or  attempting  to practice under a
 5        name other than the name as shown on his or  her  license
 6        or any other legally authorized name.
 7             (8)  A  finding by the Federal Trade Commission that
 8        a licensee violated the Federal Fair Debt and  Collection
 9        Act or its rules.
10             (9)  Failure  to  file  a return, or to pay the tax,
11        penalty or interest shown in a filed return,  or  to  pay
12        any  final  assessment  of  tax,  penalty or interest, as
13        required by any tax  Act  administered  by  the  Illinois
14        Department of Revenue until such time as the requirements
15        of any such tax Act are satisfied.
16             (10)  Using  or threatening to use force or violence
17        to cause physical harm to a debtor,  his  family  or  his
18        property.
19             (11)  Threatening to instigate an arrest or criminal
20        prosecution  where  no  basis  for  a  criminal complaint
21        lawfully exists.
22             (12)  Threatening the seizure, attachment or sale of
23        a debtor's property where such action can only  be  taken
24        pursuant  to  court  order  without disclosing that prior
25        court proceedings are required.
26             (13)  Disclosing   or   threatening   to    disclose
27        information adversely affecting a debtor's reputation for
28        credit  worthiness  with  knowledge  the  information  is
29        false.
30             (14)  Initiating    or   threatening   to   initiate
31        communication with a debtor's employer unless  there  has
32        been  a  default  of the payment of the obligation for at
33        least 30 days and at least 5 days prior  written  notice,
34        to the last known address of the debtor, of the intention
 
SB801 Engrossed             -3-                LRB9100146ACsb
 1        to  communicate  with  the employer has been given to the
 2        employee, except as expressly permitted by law  or  court
 3        order.
 4             (15)  Communicating with the debtor or any member of
 5        the  debtor's  family  at such a time of day or night and
 6        with such frequency as to constitute  harassment  of  the
 7        debtor  or  any  member  of  the  debtor's  family.   For
 8        purposes  of  this  Section  the  following conduct shall
 9        constitute harassment:
10                  (A)  Communicating  with  the  debtor  or   any
11             member  of  his or her family in connection with the
12             collection of any debt without the prior consent  of
13             the  debtor given directly to the debt collector, or
14             the express  permission  of  a  court  of  competent
15             jurisdiction, at any unusual time or place or a time
16             or  place  known  or  which  should  be  known to be
17             inconvenient to  the  debtor.   In  the  absence  of
18             knowledge  of  circumstances to the contrary, a debt
19             collector shall assume that the convenient time  for
20             communicating  with  a  consumer  is after 8 o'clock
21             a.m. and before 9 o'clock p.m.  local  time  at  the
22             debtor's location.
23                  (B)  The  threat  of publication or publication
24             of a list of consumers who allegedly refuse  to  pay
25             debts, except to a consumer reporting agency.
26                  (C)  The    threat    of    advertisement    or
27             advertisement for sale of any debt to coerce payment
28             of the debt.
29                  (D)  Causing  a  telephone  to ring or engaging
30             any person in telephone conversation  repeatedly  or
31             continuously  with intent to annoy, abuse, or harass
32             any person at the called number.
33             (16)  Using profane, obscene or abusive language  in
34        communicating with a debtor, his or her family or others.
 
SB801 Engrossed             -4-                LRB9100146ACsb
 1             (17)  Disclosing    or   threatening   to   disclose
 2        information relating to a debtor's  indebtedness  to  any
 3        other  person  except  where  such  other  person  has  a
 4        legitimate  business  need  for the information or except
 5        where such disclosure is regulated by law.
 6             (18)  Disclosing   or   threatening   to    disclose
 7        information  concerning the existence of a debt which the
 8        debt collector knows to be  reasonably  disputed  by  the
 9        debtor  without  disclosing  the  fact  that  the  debtor
10        disputes the debt.
11             (19)  Engaging  in  any  conduct  which the Director
12        finds was intended to  cause  and  did  cause  mental  or
13        physical illness to the debtor or his or her family.
14             (20)  Attempting  or  threatening to enforce a right
15        or remedy with knowledge or reason to know that the right
16        or remedy does not exist.
17             (21)  Failing to disclose to the debtor  or  his  or
18        her  family  the  corporate,  partnership  or proprietary
19        name, or other trade or business name,  under  which  the
20        debt  collector is engaging in debt collections and which
21        he or she is legally authorized to use.
22             (22)  Using  any   form   of   communication   which
23        simulates  legal  or  judicial process or which gives the
24        appearance of being authorized, issued or approved  by  a
25        governmental  agency or official or by an attorney at law
26        when it is not.
27             (23)  Using any badge, uniform, or other indicia  of
28        any  governmental agency or official except as authorized
29        by law.
30             (24)  Conducting business under any name or  in  any
31        manner which suggests or implies that a debt collector is
32        bonded  if  such  collector  is  or  is a branch of or is
33        affiliated with any governmental agency or court if  such
34        collector is not.
 
SB801 Engrossed             -5-                LRB9100146ACsb
 1             (25)  Failing to disclose, at the time of making any
 2        demand  for  payment,  the name of the person to whom the
 3        claim is owed and at  the  request  of  the  debtor,  the
 4        address  where  payment  is to be made and the address of
 5        the person to whom the claim is owed.
 6             (26)  Misrepresenting the amount  of  the  claim  or
 7        debt alleged to be owed.
 8             (27)  Representing  that  an  existing  debt  may be
 9        increased   by   the   addition   of   attorney's   fees,
10        investigation fees or any other fees or charges when such
11        fees or charges may not legally be added to the  existing
12        debt.
13             (28)  Representing  that  the  debt  collector is an
14        attorney at law or an agent for an attorney if he is not.
15             (29)  Collecting  or  attempting  to   collect   any
16        interest  or  other charge or fee in excess of the actual
17        debt or claim unless such interest or other charge or fee
18        is expressly authorized by  the  agreement  creating  the
19        debt  or  claim  unless  expressly  authorized  by law or
20        unless in a commercial transaction such interest or other
21        charge or fee is expressly  authorized  in  a  subsequent
22        agreement.    A   contingency   or   hourly   arrangement
23        established  under  an  agreement  between  a  collection
24        agency and a creditor to collect a debt shall be presumed
25        prima facie reasonable.
26             (30)  Communicating  or  threatening  to communicate
27        with a debtor when the  debt  collector  is  informed  in
28        writing  by  an attorney that the attorney represents the
29        debtor concerning the claim,  unless  authorized  by  the
30        attorney.   If  the  attorney  fails  to respond within a
31        reasonable period of time, the collector may  communicate
32        with  the debtor.  The collector may communicate with the
33        debtor when the attorney gives his consent.
34             (31)  Engaging  in   dishonorable,   unethical,   or
 
SB801 Engrossed             -6-                LRB9100146ACsb
 1        unprofessional  conduct of a character likely to deceive,
 2        defraud, or harm the public.
 3        (b)  The Department shall deny  any  license  or  renewal
 4    authorized  by this Act to any person who has defaulted on an
 5    educational loan guaranteed by the Illinois State Scholarship
 6    Commission; however, the Department may issue  a  license  or
 7    renewal   if   the   person  in  default  has  established  a
 8    satisfactory repayment record as determined by  the  Illinois
 9    State Scholarship Commission.
10        No  debt  collector  while  collecting  or  attempting to
11    collect a debt shall engage in any of the Acts  specified  in
12    this Section, each of which shall be unlawful practice.
13    (Source: P.A. 89-387, eff. 1-1-96.)

[ Top ]