100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB3282
 
Introduced , by Rep. C.D. Davidsmeyer
 
SYNOPSIS AS INTRODUCED:
 

 
  
205 ILCS 715/5
205 ILCS 715/17 new

     Amends the Data Processing Services for Financial Institutions Act. Changes the definition of "financial institution" to remove a depository institution and include a bank, savings bank, credit union, or a foreign banking corporation that receives certificates of authority from the Department of Financial and Professional Regulation (rather than the Office of Banks and Real Estate). Provides that if a financial institution makes data available to an independent data processing servicer, the data shall remain the property of the financial institution. Effective immediately.
  


LRB100 10205 SMS 20387 b

 
 
A BILL FOR
 

  
HB3282LRB100 10205 SMS 20387 b


  
1    AN ACT concerning regulation.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Data Processing Services for Financial 
5Institutions Act is amended  by changing Section 5 and  by adding 
6Section 17 as follows:
 



7    (205 ILCS 715/5)



8    Sec. 5. Definitions. As used in this Act, the following 
9terms shall have
the following meanings:

10    "Corporate fiduciary" has the meaning ascribed to that term 
11in the
Corporate Fiduciary Act.

12    "Depository institution" means a bank, savings and loan 
13association,
savings bank, or credit union chartered under the 
14laws of Illinois or of the
United States.

15    "Financial institution" means a bank, savings bank, or 
16credit union chartered under the laws of Illinois or of the 
17United States or a subsidiary thereof, any depository 
18institution or a corporate
fiduciary that has its main office 
19in Illinois and includes foreign
banking corporations that 
20receive certificates of authority from the Department of 
21Financial and Professional Regulation Office of
Banks and Real 
22Estate under the Foreign Banking Office Act.

23    "Independent data processing servicer" means an entity 
 
 
HB3282- 2 -LRB100 10205 SMS 20387 b

1that provides
electronic data processing services to a

2financial institution, but does not include an entity to the 
3extent the entity
processes interchange transactions, as 
4defined in the Electronic Fund Transfer
Act.

5    "Interface agreement" means a written agreement specifying 
6the terms and
conditions under which an interface
of 
7communications, data, or systems between independent data 
8processing
servicers shall be accomplished.

9    "Main office" means the location designated as the main 
10office or
principal place of business in the charter,
articles 
11of incorporation, or certificate of authority of the depository

12institution or corporate fiduciary.

13(Source: P.A. 91-742, eff. 6-2-00.)

 
14    (205 ILCS 715/17 new)
15    Sec. 17. Ownership of financial institution data. If a 
16financial institution transfers or otherwise makes available 
17to an independent data processing servicer any data from the 
18financial institution's records, such data shall at all times 
19remain the property of the financial institution. The 
20independent data processing servicer shall have no right, 
21title, or interest in claiming legal ownership of the data. The 
22transfer of the data by the financial institution only 
23authorizes the independent data processing servicer to 
24exercise temporary control of the data for the limited purpose 
25of performing the contracted services requested by the 
 
 
HB3282- 3 -LRB100 10205 SMS 20387 b

1financial institution.
 
 
2    Section 99. Effective date. This Act takes effect upon 
3becoming law.