www.illinois.gov

Pat Quinn, Governor

State Links Skip to Content Skip to State Links

 Government
 Business
 Employment
 Education
 Health & Safety
 Family & Home
 Visiting
 About Illinois
 Illinois.gov

Stay Informed

Your Government


Illinois Flag Honors

Inspector General


 IGNN: State/All Press Release

ILLINOIS NEWS
The State of Illinois News page provides access to the Illinois Government News Network and all state press releases.


FOR IMMEDIATE RELEASE
September 5, 2006

Central Illinois Loan Stores Fined for Unlicensed Activity
Affinity Credit Services Fined $273,000 for Five New Stores

CHICAGO – Affinity Credit Services today was ordered to pay $273,000 in fines for issuing loans at five stores in Central Illinois and suburban Chicago without first obtaining licenses under the Consumer Installment Loan Act (CILA).  The stores were purchased by Affinity in May 2006, from Americash Loans, a licensed CILA lender, but did not become licensed until August 2, 2006.

As a result of a consumer complaint, the Illinois Department of Financial and Professional Regulation (IDFPR) conducted an examination of these facilities and learned that 273 loans were issued between the May purchase and the date the stores were licensed in August.  IDFPR has assessed a fine of $1,000 for each loan that was improperly issued. 

“Governor Blagojevich has charged our department with protecting Illinois consumers from high-cost installment loans.  We will not tolerate unlicensed activities from this or any other consumer loan company,” said Dean Martinez, Secretary of Financial and Professional Regulation.

Illinois law requires each lending facility to be separately licensed, after meeting the State’s financial standards.  When the ownership of a store changes, the license of the seller is no longer valid at the facility and a license must be issued to the new owner.  In its sales contract, Americash made clear that Affinity was responsible for obtaining valid CILA licenses for these stores. Affinity’s licenses were approved on August 2, 2006 but the stores had been issuing loans since mid-June. 

The five stores are:

Freeport.  – 624 W. South Street, began issuing loans on June 13 and issued at least 71 loans prior to becoming licensed on August 2, 2006.

Sterling – 2901 E. Lincolnway Highway, made 33 loans between June 12 and August 2, when its license took effect.

Ottawa – 2620 Columbus, began making loans on June 17 and issued at least 17 CILA loans between that date and the date it was licensed, August 2, 2006. 

Lombard – 54 West Roosevelt Road, began issuing loans on June 21, 2006 and issued at least 104 loans before its license took effect on August 2, 2006.

Bridgeview – 10272 South Harlem Avenue, started operating as an Affinity Credit Services outlet on June 19 and made at least 48 loans before becoming licensed on August 2, 2006.

Today’s order takes effect immediately, unless the licensee requests, in writing, a hearing within 10 days.  In the event a hearing is requested, the order will be stayed until a final administrative order is entered. 

Should this matter not be resolved, IDFPR has the authority to refer the case to the Attorney General, who can prosecute the store owners for unlicensed business practice.   Section 20(a) of CILA, 205 ILCS 670/20(a), provides that “[a]ny person who engages in business as a Consumer Installment Loan lender without the license required by this Act shall be guilty of a Class 4 felony.”



###

News Categories

 State/All
 Governor's Office
 Lt. Governor's Office
 Agriculture
 Budget/Fiscal
 Business
 Children/Families
 Culture
 Disabilities
 Economic Development
 Education
 Environment
 Flag Honors
 Health/Human Services
 History
 Infrastructure
 Opportunity Returns
 Recovery
 Safety/Security
 Technology
 Tourism/Recreation
 Transportation
 Workforce/Jobs

News Resources

 Search the News
 IIS Radio News
 RSS News Feeds
 e-News Subscriptions
 Communications Office
 Privacy Statement

Features

Sign up for an e-news subscription
Copyright © 2014 State of Illinois Site Map | Illinois Privacy Info | Kids Privacy | Web Accessibility | Contact Us