THIRD DIVISION
March 27, 2002
No. 1-01-2789
| KETURAH D. CHANDLER, and | ) | Appeal from the |
| ROBERT A. CHANDLER, | ) | Circuit Court of |
| ) | Cook County. | |
| Plaintiffs-Appellants, | ) | |
| ) | ||
| v. | ) | |
| ) | ||
| AMERICAN GENERAL FINANCE, INC., | ) | |
| and JOHN DOES, 1-10, | ) | Honorable |
| ) | James F. Henry, | |
| Defendants-Appellees. | ) | Judge Presiding. |
JUSTICE WOLFSON delivered the opinion of the court:
Keturah D. Chandler and Robert A. Chandler (the Chandlers)borrowed money from American General Finance, Inc. (AGFI), onJune 1, 1998. After the Chandlers made some payments, AGFI beganbombarding them with opportunities to borrow more money. Theyfinally succumbed, on September 15, 1999.
In their lawsuit, the Chandlers claim they were victims of abait-and-switch scheme. That is, AGFI led them to believe theywould be getting a new loan, but intended only to refinance theirexisting loan. Refinancing, they say, turns out to be moreexpensive than taking out a new loan.
The Chandlers brought this consumer class action under theIllinois Consumer Fraud and Deceptive Business Practices Act(Consumer Fraud Act), 815 ILCS 505/1 et seq. (West 1998), and theIllinois Consumer Installment Loan Act (Consumer Loan Act), 205ILCS 670/18 (West 1998).
AGFI filed a motion to dismiss, contending: (1) theChandlers failed to state a cause of action under the ConsumerFraud Act; (2) the Chandlers failed to state a cause of actionunder the Consumer Loan Act; and (3) AGFI's conduct complied withthe requirements of the Federal Truth in Lending Act (TILA) (15U.S.C.