815 ILCS 124/2: Definitions.

As used in this Act:

"Applicant" means a person who has submitted an application for a license under this Act.

"Annual percentage rate" means the nominal annual percentage rate of finance charge determined in accordance with the actuarial method of computation with an accuracy at least to the nearest 1/4 of 1% or, at the option of the licensee by application of the federal rule, so that it may be disclosed with an accuracy at least to the nearest 1/4 of 1%.

"Buy-now-pay-later loan" or "loan" means closed-end credit provided to a consumer at the time of a transaction in connection with the consumer's particular purchase of goods or services that:

(1) is payable in 4 or fewer installments; or

(2) has a term of 120 days or less.

"Buy-now-pay-later loan" or "loan" includes any other loan identified by the Secretary by rule. "Buy-now-pay-later loan" or "loan" also includes (i) a buy-now-pay-later loan payable in one or more installments without any interest or finance charge and (ii) a buy-now-pay-later loan with either interest or finance charges or both.

"Buy-now-pay-later loan" or "loan" does not include credit where the creditor is the seller of the goods or services, unless it is credit pursuant to an agreement where, at a consumer's request, the creditor purchases specific goods or services from a seller and resells the specific goods or services to the consumer on closed-end credit. "Buy-now-pay-later loan" or "loan" also does not include (i) a loan for a motor vehicle or (ii) a residential mortgage loan, as that term is defined in Section 1-4 of the Residential Mortgage License Act of 1987. "Buy-now-pay-later loan" or "loan" also does not include any loan to a seller of goods or services for the purchase of inventory for sale or resale by the seller of goods or services in the normal course of business.

"Consumer" means a natural person who, singly or jointly with another consumer, enters into, seeks out, applies for, or requests a buy-now-pay-later loan primarily for personal, family, or household purposes.

"Department" means the Department of Financial and Professional Regulation.

"Division" means the Division of Financial Institutions of the Department of Financial and Professional Regulation.

"Finance charge" means the cost of financing as a dollar amount.

"Lender" means a person that offers or makes a buy-now-pay-later loan to a person in this State or is otherwise subject to this Act.

"Licensee" means a person licensed under this Act.

"Motor vehicle" means a vehicle which is self-propelled and every vehicle which is propelled by electric power obtained from overhead trolley wires, but not operated upon rails, except for vehicles moved solely by human power, motorized wheelchairs, low-speed electric bicycles, and low-speed gas bicycles.

"Multistate licensing system" means a third-party, multistate licensing system used by the Secretary for licensing, examinations, or any other regulatory purpose under this Act.

"Person" means an individual, a partnership, joint venture, trust, estate, firm, corporation, cooperative society or association, or any other form of business association or legal entity. "Person" includes the employees, owners, agents, managers, members, principals, and directors of a person.

"Secretary" means the Secretary of Financial and Professional Regulation or the Secretary's designee, including the Director of the Division of Financial Institutions.