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Bill to license repo agents needs some more work
While it's legal for someone working for a lender to drag an auto out of a deadbeat's driveway, some say they don't trust the workers behind the wheel.
People make a living repossessing vehicles typically work the night shift, finding and towing vehicles lenders say are rightfully theirs. It requires a lot of tact, though they're armed with a lot of power.
A piece of legislation collecting dust in the Illinois Senate aims to filter shady characters from the practice by requiring them to earn a license, submit to a background check and register their fingerprints.
Though the bill hasn't gone anywhere in Springfield, the city of Chicago is set to OK a similar measure next week which the Senate bill's sponsor said could fuel passage at the Capitol.
"They do have incredible amounts of power," said state Sen. Mike Jacobs, primary sponsor for Senate Bill 96. "Something needs to be done to ensure that they aren't hurt and to ensure they aren't hurting anyone else, too."
The Chicago version prohibits tactics like making threats, using violence, unlawfully breaking into a vehicle or damaging it during the repossession. Violators could be slapped with a $2,600 fine and six months in jail.
The statewide bill is still rough, said Jacobs, D-East Moline, though he hopes to reintroduce it to lawmakers during the falll veto session or next spring.
Some repo workers operate at night to avoid a confrontation with debtors.
Others simply knock on the door and ask for the keys, though both have the potential to turn verbally nasty and occasionally violent.
"It's great for reality TV. It's not great for the real people," said Richard Constantine, who runs a vehicle recovery business collecting cars between Ottawa and the Quad Cities. "After all, you have someone at 2:30 in the morning taking the car out of your driveway. Unlike law enforcement, we don't need a warrant."
Constantine, who is originally from Ottawa, is behind the push to require repo men and women to obtain licenses, undergo training and submit to background checks. As a lobbyist for the Illinois Recovery Association, he says it's important these workers take their job seriously.
"This isn't a game. We're dealing with real people, real lives," said Constantine, who added that repo workers can carry a gun for their safety.
"It's a hunk of tin with four tires. That's all it is. But sometimes desperate people do desperate things."
Vehicles are often repossessed because the debtor lost a job, is paying major medical bills or is going through a divorce, Constantine said. Other times they simply fall behind.
"What I tell our members is just to keep me informed," said Kyle Gates, a loan representative for Armour Kankakee Credit Union. "If we can't get a hold of you, we have no choice."
Credit unions take on a disproportionate number of auto loans, according to the Community Bankers Association of Illinois. Gates said his office waits for three months of delinquency before repossessing a car. Though less than 5 percent of the credit union's loans call for repossessions, that number could increase if the economy continues to stuggle
Bill to license repo agents needs some more work
While it's legal for someone working for a lender to drag an auto out of a deadbeat's driveway, some say they don't trust the workers behind the wheel.
People make a living repossessing vehicles typically work the night shift, finding and towing vehicles lenders say are rightfully theirs. It requires a lot of tact, though they're armed with a lot of power.
A piece of legislation collecting dust in the Illinois Senate aims to filter shady characters from the practice by requiring them to earn a license, submit to a background check and register their fingerprints.
Though the bill hasn't gone anywhere in Springfield, the city of Chicago is set to OK a similar measure next week which the Senate bill's sponsor said could fuel passage at the Capitol.
"They do have incredible amounts of power," said state Sen. Mike Jacobs, primary sponsor for Senate Bill 96. "Something needs to be done to ensure that they aren't hurt and to ensure they aren't hurting anyone else, too."
The Chicago version prohibits tactics like making threats, using violence, unlawfully breaking into a vehicle or damaging it during the repossession. Violators could be slapped with a $2,600 fine and six months in jail.
The statewide bill is still rough, said Jacobs, D-East Moline, though he hopes to reintroduce it to lawmakers during the falll veto session or next spring.
Some repo workers operate at night to avoid a confrontation with debtors.
Others simply knock on the door and ask for the keys, though both have the potential to turn verbally nasty and occasionally violent.
"It's great for reality TV. It's not great for the real people," said Richard Constantine, who runs a vehicle recovery business collecting cars between Ottawa and the Quad Cities. "After all, you have someone at 2:30 in the morning taking the car out of your driveway. Unlike law enforcement, we don't need a warrant."
Constantine, who is originally from Ottawa, is behind the push to require repo men and women to obtain licenses, undergo training and submit to background checks. As a lobbyist for the Illinois Recovery Association, he says it's important these workers take their job seriously.
"This isn't a game. We're dealing with real people, real lives," said Constantine, who added that repo workers can carry a gun for their safety.
"It's a hunk of tin with four tires. That's all it is. But sometimes desperate people do desperate things."
Vehicles are often repossessed because the debtor lost a job, is paying major medical bills or is going through a divorce, Constantine said. Other times they simply fall behind.
"What I tell our members is just to keep me informed," said Kyle Gates, a loan representative for Armour Kankakee Credit Union. "If we can't get a hold of you, we have no choice."
Credit unions take on a disproportionate number of auto loans, according to the Community Bankers Association of Illinois. Gates said his office waits for three months of delinquency before repossessing a car. Though less than 5 percent of the credit union's loans call for repossessions, that number could increase if the economy continues to stuggle