(205 ILCS 635/2‑2)
Sec. 2‑2. Application process; investigation; fee.
(a) The Secretary shall issue a license upon completion of all of the following:
(1) The filing of an application for license with the |
| Director or the Nationwide Mortgage Licensing System and Registry as approved by the Director. |
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(2) The filing with the Secretary of a listing of |
| judgments entered against, and bankruptcy petitions by, the license applicant for the preceding 10 years. |
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(3) The payment, in certified funds, of investigation |
| and application fees, the total of which shall be in an amount equal to $2,043 annually. To comply with the common renewal date and requirements of the Nationwide Mortgage Licensing System and Registry, the term of initial licenses may be extended or shortened with applicable fees prorated or combined accordingly. |
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(4) Except for a broker applying to renew a license, |
| the filing of an audited balance sheet including all footnotes prepared by a certified public accountant in accordance with generally accepted accounting principles and generally accepted auditing principles which evidences that the applicant meets the net worth requirements of Section 3‑5. |
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(5) The filing of proof satisfactory to the |
| Commissioner that the applicant, the members thereof if the applicant is a partnership or association, the members or managers thereof that retain any authority or responsibility under the operating agreement if the applicant is a limited liability company, or the officers thereof if the applicant is a corporation have 3 years experience preceding application in real estate finance. Instead of this requirement, the applicant and the applicant's officers or members, as applicable, may satisfactorily complete a program of education in real estate finance and fair lending, as approved by the Commissioner, prior to receiving the initial license. The Commissioner shall promulgate rules regarding proof of experience requirements and educational requirements and the satisfactory completion of those requirements. The Commissioner may establish by rule a list of duly licensed professionals and others who may be exempt from this requirement. |
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(6) An investigation of the averments required by |
| Section 2‑4, which investigation must allow the Commissioner to issue positive findings stating that the financial responsibility, experience, character, and general fitness of the license applicant and of the members thereof if the license applicant is a partnership or association, of the officers and directors thereof if the license applicant is a corporation, and of the managers and members that retain any authority or responsibility under the operating agreement if the license applicant is a limited liability company are such as to command the confidence of the community and to warrant belief that the business will be operated honestly, fairly and efficiently within the purpose of this Act. If the Commissioner shall not so find, he or she shall not issue such license, and he or she shall notify the license applicant of the denial. |
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The Commissioner may impose conditions on a license if |
| the Commissioner determines that the conditions are necessary or appropriate. These conditions shall be imposed in writing and shall continue in effect for the period prescribed by the Commissioner. |
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(b) All licenses shall be issued to the license applicant.
Upon receipt of such license, a residential mortgage licensee shall be authorized to engage in the business regulated by this Act. Such license shall remain in full force and effect until it expires without renewal, is surrendered by the licensee or revoked or suspended as hereinafter provided.
(Source: P.A. 95‑1047, eff. 4‑6‑09; 96‑112, eff. 7‑31‑09; 96‑1000, eff. 7‑2‑10.) |
(205 ILCS 635/2‑3) (from Ch. 17, par. 2322‑3)
Sec. 2‑3. Application form.
(a) Application for a residential mortgage license must be made in accordance with Section 2‑6 and, if applicable, in accordance with requirements of the Nationwide Mortgage Licensing System and Registry. The application shall be in writing, under oath, and on a form obtained from and prescribed by the Commissioner, or may be submitted electronically, with attestation, to the Nationwide Mortgage Licensing System and Registry.
(b) The application shall contain the name and complete business and residential address or addresses of the license applicant. If the license applicant is a partnership, association, corporation or other form of business organization, the application shall contain the names and complete business and residential addresses of each member, director and principal officer thereof. Such application shall also include a description of the activities of the license applicant, in such detail and for such periods, as the Commissioner may require, including all of the following:
(1) An affirmation of financial solvency noting such
| capitalization requirements as may be required by the Commissioner, and access to such credit as may be required by the Commissioner. | |
(2) An affirmation that the license applicant or its |
| members, directors or principals as may be appropriate, are at least 18 years of age. | |
(3) Information as to the character, fitness, |
| financial and business responsibility, background, experience, and criminal record of any (i) person, entity, or ultimate equitable owner that owns or controls, directly or indirectly, 10% or more of any class of stock of the license applicant; (ii) person, entity, or ultimate equitable owner that is not a depository institution, as defined in Section 1007.50 of the Savings Bank Act, that lends, provides, or infuses, directly or indirectly, in any way, funds to or into a license applicant, in an amount equal to or more than 10% of the license applicant's net worth; (iii) person, entity, or ultimate equitable owner that controls, directly or indirectly, the election of 25% or more of the members of the board of directors of a license applicant; or (iv) person, entity, or ultimate equitable owner that the Commissioner finds influences management of the license applicant. | |
(4) Upon written request by the licensee and |
| notwithstanding the provisions of paragraphs (1), (2), and (3) of this subsection, the Commissioner may permit the licensee to omit all or part of the information required by those paragraphs if, in lieu of the omitted information, the licensee submits an affidavit stating that the information submitted on the licensee's previous renewal application is still true and accurate. The Commissioner may promulgate rules prescribing the form and content of the affidavit that are necessary to accomplish the purposes of this Section. | |
(5) Such other information as required by |
| regulations of the Commissioner. | |
(Source: P.A. 96‑112, eff. 7‑31‑09.) |
(205 ILCS 635/2‑4) (from Ch. 17, par. 2322‑4)
Sec. 2‑4. Averments of Licensee. Each application for license or for the renewal of a license shall be accompanied by the following averments stating that the applicant:
(a) Will maintain at least one full service office
| within the State of Illinois pursuant to Section 3‑4 of this Act; | |
(b) Will maintain staff reasonably adequate to meet |
| the requirements of Section 3‑4 of this Act; | |
(c) Will keep and maintain for 36 months the same |
| written records as required by the federal Equal Credit Opportunity Act, and any other information required by regulations of the Commissioner regarding any home mortgage in the course of the conduct of its residential mortgage business; | |
(d) Will file with the Commissioner or Nationwide |
| Mortgage Licensing System and Registry as applicable, when due, any report or reports which it is required to file under any of the provisions of this Act; | |
(e) Will not engage, whether as principal or agent, |
| in the practice of rejecting residential mortgage applications without reasonable cause, or varying terms or application procedures without reasonable cause, for home mortgages on real estate within any specific geographic area from the terms or procedures generally provided by the licensee within other geographic areas of the State; | |
(f) Will not engage in fraudulent home mortgage |
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(g) Will not make payment, whether directly or |
| indirectly, of any kind to any in house or fee appraiser of any government or private money lending agency with which an application for a home mortgage has been filed for the purpose of influencing the independent judgment of the appraiser with respect to the value of any real estate which is to be covered by such home mortgage; | |
(h) Has filed tax returns (State and Federal) for |
| the past 3 years or filed with the Commissioner an accountant's or attorney's statement as to why no return was filed; | |
(i) Will not engage in any discrimination or |
| redlining activities prohibited by Section 3‑8 of this Act; | |
(j) Will not knowingly make any false promises |
| likely to influence or persuade, or pursue a course of misrepresentation and false promises through agents, solicitors, advertising or otherwise; | |
(k) Will not knowingly misrepresent, circumvent or |
| conceal, through whatever subterfuge or device, any of the material particulars or the nature thereof, regarding a transaction to which it is a party to the injury of another party thereto; | |
(l) Will disburse funds in accordance with its |
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(m) Has not committed a crime against the law of |
| this State, any other state or of the United States, involving moral turpitude, fraudulent or dishonest dealing, and that no final judgment has been entered against it in a civil action upon grounds of fraud, misrepresentation or deceit which has not been previously reported to the Commissioner; | |
(n) Will account or deliver to the owner upon |
| request any personal property such as money, fund, deposit, check, draft, mortgage, other document or thing of value which it is not in law or equity entitled to retain under the circumstances; | |
(o) Has not engaged in any conduct which would be |
| cause for denial of a license; | |
(p) Has not become insolvent;
(q) Has not submitted an application for a license |
| under this Act which contains a material misstatement; | |
(r) Has not demonstrated by course of conduct, |
| negligence or incompetence in performing any act for which it is required to hold a license under this Act; | |
(s) Will advise the Commissioner in writing, or the |
| Nationwide Mortgage Licensing System and Registry as applicable, of any changes to the information submitted on the most recent application for license within 30 days of said change. The written notice must be signed in the same form as the application for license being amended; | |
(t) Will comply with the provisions of this Act, or |
| with any lawful order, rule or regulation made or issued under the provisions of this Act; | |
(u) Will submit to periodic examination by the |
| Commissioner as required by this Act; | |
(v) Will advise the Commissioner in writing of |
| judgments entered against, and bankruptcy petitions by, the license applicant within 5 days of occurrence; | |
(w) Will advise the Commissioner in writing within |
| 30 days of any request made to a licensee under this Act to repurchase a loan in a manner that completely and clearly identifies to whom the request was made, the loans involved, and the reason therefor; | |
(x) Will advise the Commissioner in writing within |
| 30 days of any request from any entity to repurchase a loan in a manner that completely and clearly identifies to whom the request was made, the loans involved, and the reason for the request; | |
(y) Will at all times act in a manner consistent |
| with subsections (a) and (b) of Section 1‑2 of this Act; and | |
(z) Will not knowingly hire or employ a loan |
| originator who is not registered, or mortgage loan originator who is not licensed, with the Commissioner as required under Section 7‑1 or Section 7‑1A, as applicable, of this Act. | |
A licensee who fails to fulfill obligations of an averment, to comply with averments made, or otherwise violates any of the averments made under this Section shall be subject to the penalties in Section 4‑5 of this Act.
(Source: P.A. 95‑331, eff. 8‑21‑07; 96‑112, eff. 7‑31‑09.) |