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| [ Introduced ] | [ House Amendment 001 ] |
91_SB1055eng SB1055 Engrossed 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 SB1055 Engrossed -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.