[ Search ] [ Legislation ]
[ Home ] [ Back ] [ Bottom ]
| [ Engrossed ] | [ House Amendment 001 ] |
91_SB1055
LRB9105979JSmbA
1 AN ACT to create the Check Acceptance Firm Act.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 1. Short title. This Act may be cited as the
5 Check Acceptance Firm Act.
6 Section 5. Definitions.
7 "Check acceptance firm" means an entity that provides
8 information verification for personal checks of consumers and
9 transmits that information by electronic or other means to a
10 retail seller.
11 "Credit scoring" means an objective methodology used by
12 a check acceptance firm to determine, on behalf of a retail
13 seller, if a personal check presented to the retail seller by
14 a consumer is valid and sufficient to consummate the
15 transaction between the retail seller and the consumer.
16 Credit scoring shall be performed in a form and manner that
17 complies with the federal Fair Credit Reporting Act.
18 "Consumer" means a natural person.
19 "Retail seller" means a person regularly engaged in, and
20 whose business consists to a substantial extent of, selling
21 and who, in the ordinary course of business, regularly sells
22 or offers to sell goods or services to consumers who are
23 retail buyers and who utilizes the services of a check
24 acceptance firm for the verification of checks presented by
25 consumers.
26 Section 10. Toll-free number; disclosure of credit
27 scoring criteria. A check acceptance firm shall have a
28 toll-free telephone number by which a consumer may contact
29 the check acceptance firm to obtain credit scoring
30 information. This toll-free telephone number shall be posted
-2- LRB9105979JSmbA
1 in an area used by the consumer and the retailer to complete
2 retail transactions. If a personal check presented by a
3 consumer to a retail seller is not accepted by the retail
4 seller based upon information provided by the check
5 acceptance firm, the retail seller shall provide the
6 toll-free number to the consumer. Upon request by a consumer
7 regarding a transaction that was rejected by a retail seller,
8 a check acceptance firm shall provide the consumer with the
9 specific reasons the transaction was rejected. The specific
10 reasons the transaction was rejected shall be provided to the
11 consumer in writing within 14 days after the request at a
12 mailing address provided by the consumer.
13 Section 15. Penalty. A violation of Section 10 of this
14 Act by a check acceptance firm or a retail seller is a petty
15 offense. The penalty is a fine of $500.