IL HB0705

Expands the predatory lending database program to Kane, Peoria, and Will counties, effective July 1, 2010, in addition to the existing Cook County program that began July 1, 2008.

Requires brokers and loan originators to submit mortgage application information to the database within 10 days, and the Department of Financial and Professional Regulation must issue a counseling recommendation within 7 days.

Mandates that borrowers recommended for counseling must select a HUD-certified counseling agency within 10 days and complete counseling, with costs up to $300 paid by the broker or originator.

Prohibits legally binding loan actions until either the Department determines counseling is not needed or the borrower completes counseling and the counselor submits required information to the database.

Requires title insurance companies and closing agents to submit closing information to the database and attach a certificate of compliance to the mortgage, or the mortgage becomes unrecordable.