Terms Used In Illinois Compiled Statutes 815 ILCS 137/65

  • Amortization: Paying off a loan by regular installments.
  • Forbearance: A means of handling a delinquent loan. A
  • Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
     No lender shall transfer, deal in, offer, or make a high risk home loan, other than a loan secured only by a reverse mortgage, with terms under which the outstanding balance will increase at any time over the course of the loan because the regular periodic payments do not cover the full amount of the interest due, unless the negative amortization is the consequence of a temporary forbearance sought by the borrower.