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Illinois Legislature Passes New All-In Finance Charge Cap | Ballard Spahr LLP

To embed, copy and paste the code into your website or blog: On January 13, 2021, the Illinois legislature overwhelmingly passed SB 1792 (the “Act”), intended to, among other things, overhaul the state’s consumer finance laws. Described prior to enactment as a bill related to “ Energy Storage Systems,” SB 1792 passed, together with other major bills, with remarkably little debate. The drafters’ inclusion of the “ Predatory Loan Prevention Act” in SB 1792 would extend the 36% “all-in” Military Annual Percentage Rate (MAPR) finance charge cap of the federal Military Lending Act (MLA) to “any person or entity that offers or makes a loan to a consumer in Illinois” unless made by a statutorily exempt entity (i.e., a bank, savings bank, savings and loan association, credit union or insurance company). (SB 1792 separately amends the Illinois Consumer Installment Loan Act and the Payday Loan Reform Act to apply this same 36% MAPR cap.) The cap is effective immedia

Economic equity bill ranges from payday loans to lead water pipes

Criminal backgrounds One part of the bill, called the Employee Background Fairness Act, calls for strictly limiting the ability of employers to use a person’s criminal history to deny someone a job or take any other adverse action unless there is a “direct relationship” between the conviction and the job, or if there is a specific federal, state or local law prohibiting the employment of such a person. It also contains similar language regarding housing in buildings under the jurisdiction of public housing authorities. “It s just important to note that 55% of Illinois adults have a criminal record, and an applicant with a record is 50% less likely to get a callback for a job offer or an interview than an individual who does not,” said Matt Smith of Cabrini Green Legal Aid. “So what we see is that just routinely, people who ve been caught up in the criminal legal system, sometimes decades prior, continue to face huge and insurmountable challenges in ge

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