A law that will come into force on January 1, 2026 Illinois provides protection for citizens who have been forced to take out a loan without their consent. The governor of the state, JB Pritzkersigned the rule last August.
In this sense, the law signed by Pritzker notes that people who have been forced to allow others to misuse their identity to incur debt You are not responsible for paymentin section 9.6.
The new legislation indicates that the The victim must report the matter to the policea court order or certain documents proving that you suffered coercion in these proceedings. In addition, a written declaration of compulsory debt must be completed before the debt collection agency, which must contain the following:
For its part, the relevant agency is obliged to confirm receipt of the documents and, if necessary, confirm them Temporarily suspend debt collection and credit reporting activities.
It will then be granted The company will be given 90 days to review the evidence and determine whether it is a compulsory debt or not.
In this case, the loan payments will be permanently canceled. If the result is negative, the applicant will be given a written explanation.
The rule signed by Pritzker in the Prairie State also provides penalties for fraudulent certifications.
Thus, it is established that “a debt collection agency that fails to comply with any of the requirements of Section 9.6, such as suspending debt collection or failing to verify billing, shall be liable to the debtor for actual damages” and must be liable for:
For those accused of committing a coercive offense, the law provides that they must do so Please contact the debt collection agency for the amount Total amount of the loan still outstanding to the affected party.
On the other hand, you must compensate the debtor for actual damages, payments already made, possible seizures or costs associated with the situation.
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