38 Ill. Adm. Code 160.280
Loan Sales
Section 160.280 Loan Sales
a) For purposes of this Section:
1) "Act" means the Sales Finance Agency Act [205 ILCS
660]; and
2) "Licensee" means licensees under the Act and the
Consumer Installment Loan Act [205 ILCS 670].
3) "Transaction" means the pledge, hypothecation, sale,
or other conveyance of contracts purchased, or loans made, under the provisions
of the Act.
b) A licensee may not pledge, hypothecate, sell, or otherwise
convey contracts purchased, or loans made, under the provisions of the Act,
except as provided in this Section.
c) A licensee may not pledge, hypothecate, sell, or otherwise
convey contracts purchased, or loans made, under the Act, except to:
1) another
licensee under the Act;
2) a
Consumer Installment Loan Act licensee;
3) a special purpose vehicle as defined by the Act;
4)
a person or entity that
lends against or purchases
retail installment contracts, retail charge agreements, or the outstanding
balances or any portion of the outstanding balances under those contracts or
agreements from an Illinois licensed sales finance agency
or Consumer
Installment Loan Act licensee
in connection with a securitization, private
placement, or similar type of investment transaction
. A licensee may
pledge, hypothecate, sell, or otherwise convey contracts purchased, or loans
made, under the Act to a person or entity described in this subsection (c)(4)
only if the conveyor licensee
retains servicing of the loan agreements or
contracts and maintains the records for those loan agreements or contracts
(see Section 17(b) of the Act);
5) the retail seller from which the conveyor licensee originally
purchased the retail installment contracts or retail charge agreements; or
6) a credit union, bank, banking association, trust company,
savings bank, or savings and loan association authorized to do business under
the laws of this State or of the United States.
d) The conveyor licensee shall notify the Department in writing,
no more than 10 days after the transaction, indicating the name of the
purchaser/pledgee/recipient and evidence of their qualifications to purchase
contracts under this Section.