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Rep. Bob Rita Applauds Gov. Pritzker for Signing New Consumer Protections for Buy Now, Pay Later Loans
Senate Bill 3561 Brings Fast-Growing Industry Under State Oversight to Protect Consumers

CHICAGO – Rep. Robert “Bob” Rita joined Gov. JB Pritzker Thursday as he signed into law Senate Bill 3561 to regulate the fast-growing industry of so-called “buy-now-pay-later” options at checkouts that allow consumers to pay for purchases over time.
SB 3561, sponsored in the Illinois House by Rep. Rita, creates the Buy-Now-Pay-Later Loan Regulation Act to regulate these purchase options like other forms of credit in Illinois so that
consumers are protected from exorbitant fees or unfair terms.
Highlights of the new law include responsible underwriting, stronger, upfront disclosures, fair
dispute resolution and refunds, no prepayment penalties, and a strict rate cap to prevent predatory
interest rates.
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“Times are tough for a lot of people, with rising costs for just about anything consumers might want to buy,” said Rep. Robert “Bob” Rita. “Like any other form of credit, buy-now-pay- later options need sensible, balanced regulation, and the Buy-Now-Pay-Later Loan Regulation Act will better protect consumers while maintaining this flexible and convenient option at checkout.”