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Sen. Kirk W. Dillard
Filed: 3/23/2004
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LRB093 20572 AMC 48967 a |
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| AMENDMENT TO SENATE BILL 2456
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| AMENDMENT NO. ______. Amend Senate Bill 2456, AS AMENDED, |
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| by replacing everything after the enacting clause with the |
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| following:
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| "Section 5. The Illinois State Collection Act of 1986 is |
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| amended by changing Section 2 as follows:
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| (30 ILCS 210/2) (from Ch. 15, par. 152)
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| Sec. 2. This Act applies to all accounts or claims owed to |
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| "State
agencies", as that term is defined in the Illinois State |
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| Auditing Act,
except that the debt collection and write-off |
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| provisions of this Act
shall not apply to the Illinois State |
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| Scholarship
Commission in the administration of its student |
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| loan programs nor to the Illinois circuit courts in the |
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| collection of unpaid court fines, forfeitures, fees, costs, |
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| penalties, assessments, surcharges, or restitution . To
the |
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| extent that some other statute prescribes procedures for |
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| collection of
particular types of accounts or claims owed to |
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| State agencies in conflict
with the provisions of this Act, |
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| such other statute shall continue in full
force and effect. The |
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| debt collection and write-off provisions of this Act
may be |
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| utilized by the General Assembly, the Supreme Court and the |
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| several
courts of this State, and the constitutionally elected |
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| State Officers, at
their discretion. However reporting |
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| requirements established by the
comptroller shall be followed |
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LRB093 20572 AMC 48967 a |
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| by all State agencies. The provisions
of this Act shall be |
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| utilized at all times by all departments, agencies,
divisions, |
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| and offices under the jurisdiction of the Governor.
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| (Source: P.A. 85-814.)
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| Section 10. The Collection Agency Act is amended by |
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| changing Section 9 and by adding Section 8d as follows: |
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| (225 ILCS 425/8d new) |
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| (Section scheduled to be repealed on January 1, 2006) |
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| Sec. 8d. Collection fees. At the time a past due account is |
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| forwarded to a third-party collector, units of Illinois State |
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| or local government or Illinois circuit courts may provide for |
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| the imposition of a collection fee added to any amounts past |
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| due. This collection fee shall be in addition to any other |
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| amounts owed to such units of State or local government or the |
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| Illinois circuit courts. The collection fee shall be collected |
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| under a contract and shall be in addition_to any amounts due. |
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| The person owing the past due amount is liable for the |
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| collection fee provided for under this Section. The amount of |
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| the collection fee is the amount provided by the contract, |
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| whether a specified amount or an amount contingent on the |
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| amount collected, for compensation of the person with whom the |
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| contract is made and any additional court costs or attorney's |
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| fees incurred in collecting the amount owed to the State, units |
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| of local government or Illinois circuit courts.
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| (225 ILCS 425/9) (from Ch. 111, par. 2012)
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| (Section scheduled to be repealed on January 1, 2006)
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| Sec. 9. (a) The Department may refuse to issue or renew, or |
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| may
revoke, suspend, place on probation, reprimand or take |
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| other disciplinary
action as the Department may deem proper, |
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| including fines not to exceed
$1,000 per licensee per |
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| complaint, for any one or any combination of the
following |
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LRB093 20572 AMC 48967 a |
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| causes:
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| (1) Violations of this Act or of the rules promulgated |
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| hereunder.
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| (2) Conviction of the collection agency or the |
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| principals of the agency
of any crime under the laws of any |
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| U.S. jurisdiction which is a felony, a
misdemeanor an |
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| essential element of which is dishonesty, or of any crime
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| which directly relates to the practice of the profession.
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| (3) Making any misrepresentation for the purpose of |
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| obtaining a license
or certificate.
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| (4) Habitual or excessive use or addiction to alcohol, |
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| narcotics,
stimulants or any other chemical agent or drug |
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| which results in the
inability to practice with reasonable |
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| judgment, skill, or safety by any of
the principals of a |
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| collection agency.
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| (5) Discipline by another U.S. jurisdiction or foreign |
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| nation, if at
least one of the grounds for the discipline |
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| is the same or substantially
equivalent to those set forth |
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| in this Act.
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| (6) A finding by the Department that the licensee, |
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| after having his
license placed on probationary status, has |
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| violated the terms of probation.
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| (7) Practicing or attempting to practice under a name |
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| other than the
name as shown on his or her license or any |
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| other legally authorized name.
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| (8) A finding by the Federal Trade Commission that a |
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| licensee violated
the Federal Fair Debt and Collection Act |
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| or its rules.
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| (9) Failure to file a return, or to pay the tax, |
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| penalty or interest
shown in a filed return, or to pay any |
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| final assessment of tax, penalty or
interest, as required |
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| by any tax Act administered by the Illinois
Department of |
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| Revenue until such time as the requirements of any such tax
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| Act are satisfied.
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| (10) Using or threatening to use force or violence to |
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| cause physical
harm to a debtor, his family or his |
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| property.
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| (11) Threatening to instigate an arrest or criminal |
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| prosecution where no
basis for a criminal complaint |
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| lawfully exists.
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| (12) Threatening the seizure, attachment or sale of a |
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| debtor's property
where such action can only be taken |
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| pursuant to court order without
disclosing that prior court |
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| proceedings are required.
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| (13) Disclosing or threatening to disclose information |
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| adversely
affecting a debtor's reputation for credit |
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| worthiness with knowledge the
information is false.
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| (14) Initiating or threatening to initiate |
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| communication with a debtor's
employer unless there has |
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| been a default of the payment of the obligation
for at |
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| least 30 days and at least 5 days prior written notice, to |
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| the last
known address of the debtor, of the intention to |
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| communicate with the
employer has been given to the |
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| employee, except as expressly permitted by
law or court |
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| order.
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| (15) Communicating with the debtor or any member of the |
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| debtor's family
at such a time of day or night and with |
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| such frequency as to constitute
harassment of the debtor or |
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| any member of the debtor's family. For
purposes of this |
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| Section the following conduct shall constitute harassment:
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| (A) Communicating with the debtor or any member of |
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| his or her family
in connection with the collection of |
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| any debt without the prior consent of the
debtor given |
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| directly to the debt collector, or the express |
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| permission of a
court of competent jurisdiction, at any |
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| unusual time or place or a time or
place known or which |
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| should be known to be inconvenient to the debtor. In
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| the absence of knowledge of circumstances to the |
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| contrary, a debt collector
shall assume that the |
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| convenient time for communicating with a consumer is
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| after 8 o'clock a.m. and before 9 o'clock p.m. local |
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| time at the debtor's
location.
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| (B) The threat of publication or publication of a |
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| list of consumers who
allegedly refuse to pay debts, |
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| except to a consumer reporting agency.
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| (C) The threat of advertisement or advertisement |
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| for sale of any debt to
coerce payment of the debt.
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| (D) Causing a telephone to ring or engaging any |
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| person in telephone
conversation repeatedly or |
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| continuously with intent to annoy, abuse, or
harass any |
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| person at the called number.
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| (16) Using profane, obscene or abusive language in |
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| communicating with a
debtor, his or her family or others.
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| (17) Disclosing or threatening to disclose information |
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| relating to a
debtor's indebtedness to any other person |
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| except where such other person has
a legitimate business |
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| need for the information or except where such
disclosure is |
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| regulated by law.
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| (18) Disclosing or threatening to disclose information |
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| concerning the
existence of a debt which the debt collector |
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| knows to be reasonably
disputed by the debtor without |
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| disclosing the fact that the debtor
disputes the debt.
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| (19) Engaging in any conduct which the Director finds |
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| was intended to
cause and did cause mental or physical |
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| illness to the debtor or his
or her
family.
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| (20) Attempting or threatening to enforce a right or |
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| remedy with
knowledge or reason to know that the right or |
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| remedy does not exist.
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| (21) Failing to disclose to the debtor or his or her |
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| family the
corporate, partnership or proprietary name, or |
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| other trade or business name,
under
which the debt |
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| collector is engaging in debt collections and which he or
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LRB093 20572 AMC 48967 a |
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| she is legally authorized to use.
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| (22) Using any form of communication which simulates |
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| legal or judicial
process or which gives the appearance of |
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| being authorized, issued or
approved by a governmental |
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| agency or official or by an attorney at law
when it is not.
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| (23) Using any badge, uniform, or other indicia of any |
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| governmental
agency or official except as authorized by |
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| law.
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| (24) Conducting business under any name or in any |
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| manner which suggests
or implies that a debt collector is |
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| bonded if such collector is or is a
branch of or is |
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| affiliated with any governmental agency or court if such
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| collector is not.
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| (25) Failing to disclose, at the time of making any |
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| demand for payment,
the name of the person to whom the |
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| claim is owed and at the request of the
debtor, the address |
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| where payment is to be made and the address of the
person |
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| to whom the claim is owed.
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| (26) Misrepresenting the amount of the claim or debt |
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| alleged to be owed.
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| (27) Representing that an existing debt may be |
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| increased by the addition
of attorney's fees, |
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| investigation fees or any other fees or charges when
such |
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| fees or charges may not legally be added to the existing |
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| debt.
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| (28) Representing that the debt collector is an |
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| attorney at law or an
agent for an attorney if he is not.
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| (29) Except as provided in Section 8d, collecting
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| Collecting or attempting to collect any interest or other |
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| charge or
fee in excess of the actual debt or claim unless |
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| such interest or other
charge or fee is expressly |
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| authorized by the agreement creating the debt or
claim |
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| unless expressly authorized by law or unless in a |
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| commercial
transaction such interest or other charge or fee |
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LRB093 20572 AMC 48967 a |
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| is expressly authorized in
a subsequent agreement. If a |
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| contingency or hourly fee arrangement (i) is
established |
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| under an agreement between a collection agency and a |
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| creditor to
collect a debt and (ii) is paid by a debtor |
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| pursuant to a contract between the
debtor and the creditor, |
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| then that fee arrangement does not violate this
Section |
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| unless the fee is unreasonable. The Department shall |
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| determine what
constitutes a reasonable collection fee.
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| (30) Communicating or threatening to communicate with |
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| a debtor when the
debt collector is informed in writing by |
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| an attorney that the attorney
represents the debtor |
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| concerning the claim, unless authorized by the
attorney. If |
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| the attorney fails to respond within a reasonable period of
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| time, the collector may communicate with the debtor. The |
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| collector may
communicate with the debtor when the attorney |
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| gives his consent.
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| (31) Engaging in dishonorable, unethical, or |
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| unprofessional conduct of a
character likely to deceive, |
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| defraud, or harm the public.
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| (b) The Department shall deny any license or renewal |
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| authorized by this
Act to any person who has defaulted on an |
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| educational loan guaranteed by
the Illinois State Scholarship |
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| Commission; however, the Department may
issue a license or |
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| renewal if the person in default has established a
satisfactory |
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| repayment record as determined by the Illinois State
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| Scholarship Commission.
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| No debt collector while collecting or attempting to collect |
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| a debt shall
engage in any of the Acts specified in this |
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| Section, each of which shall
be unlawful practice.
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| (Source: P.A. 91-768, eff. 1-1-01.)".
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