IL HB1628

Adds Section 4 to the Landlord and Tenant Act prohibiting landlords from requiring tenants or prospective tenants to pay rent or other lease-related amounts through electronic funds transfer (EFT).

Defines electronic funds transfer as any funds transfer initiated through electronic means (terminal, telephone, computer, magnetic tape) that instructs a financial institution to debit or credit an account, including automated clearing house systems.

Prohibits landlords from requiring automatic, recurring EFT payment systems for residential lease payments.

Violations of this provision are treated as unlawful practices under the Consumer Fraud and Deceptive Business Practices Act, effective 90 days after enactment.

Applies to leases or agreements executed after the effective date of the law.