We had a question about the first payment due date for a loan. What is the maximum time frame we can set for a loan’s first payment? Can we wait sixty days after loan closing before the first payment is due?

We are not aware of any Illinois laws that would govern the maximum time frame for a loan’s first payment. We would recommend checking your loan documents to ensure that you are disclosing that interest will start accruing during the first sixty days after loan closing, before the first loan payment is due. If you are changing your policy on the timeframe for a first loan payment, and particularly if you will be revising your loan documents, we recommend consulting with bank counsel before making these changes.