Earlier this year, the Illinois Appellate Court held, as a matter of first impression, that residential mortgages made by an unlicensed entity are invalid under the Illinois Residential Mortgage License Act of 1987, 205 ILCS 635, et seq. The court relied on the rule that courts will not enforce a contract made by an unlicensed entity when licensing is expressly required by a law that seeks to safeguard the public's interest. HERE is a link to that case.
I am currently defending a homeowner in a mortgage foreclosure case and I thought I better check to see if the lender is licensed in Illinois. It turns out that they are. But I wanted to relay the link to the current list of licensed mortgage lenders just in case anybody is interested. The list can be found HERE. Good luck.