Wisconsin Legislature: DFI-Bkg 75.08(3)

(b) You may rescind this payday loan by returning to the lender the proceeds of the payday loan before the close of business on the next day of business after the loan is made, or, if the place of business where the loan is made is open 24-hours, before 5 p.m. on the next day of business after the loan is made.

(d) A lender may present a customer’s check for payment no more than once. For each customer authorization to initiate an electronic fund transfer from the customer’s account, a lender may initiate an electronic fund transfer no more than once. The only charge that a lender may impose for dishonor of a customer’s check or denial of the lender’s instruction to execute an electronic fund transfer is a charge that does not exceed $15.

(e) If a person makes a payday loan to a customer in violation of s. 138.14, Stats., the customer may bring an action against the person for damages of $250 or the amount of the payday loan, whichever is greater, plus costs, and notwithstanding s. 814.04 (1), Stats., reasonable attorney fees.

(2) The language required by sub. (1) (a) shall be placed immediately above the Notice to Customer required by s. 422.303 (3), Stats., and shall be separately signed or initialed by the customer before the payday loan is made.

History: CR 10-098: cr. Register May 2011 No. 665, eff. 6-1-11; CR 12-035: am. (1) (a) Register May 2013 No. 689, eff. 6-1-13; CR 23-039: r. (3) Register March 2024 No. 819, eff. 4-1-24.

DFI-Bkg 75.08 Repayment plan.

(1) Repayment plan offer.

(a) The offer of the repayment plan required by s. 138.14 (11g) (a), Stats., shall be hand-delivered, mailed or e-mailed to the customer in a single written document that is in a form prescribed by the division, and except as set forth in par. (b), delivered on or before the 10th day after the maturity date of the loan.

(b) If a customer’s check has been presented, or electronic fund transfer authorization initiated, on or before the 10th day after the maturity date of the loan, but the lender has not yet been notified that the customer’s check or electronic fund transfer authorization has not cleared the customer’s financial institution, the lender shall make the offer when the notification is received.

1. Be on white paper sized 8 ½ inches x 11 inches and in Times New Roman font style 12 or greater.

2. Identify the name, address, and telephone number of the licensee.

3. Identify the name, address, telephone number, and customer identification number.

4. Contain an explanation of the repayment plan being offered.

5. State the date the offer is made and the date by which the customer must accept the offer.

(d) The licensee shall retain in the customer’s file a copy of the repayment plan form provided to the customer.

(e) If the offer is emailed to the customer, the lender’s compliance with par. (c) 1. will be based on how the offer is displayed on the lender’s computer, and not based on how the offer is displayed on the customer’s computer.

(2) Repayment plan agreement.

(a) The repayment plan agreement shall be in writing and shall do all of the following:

1. Contain no blank spaces.

2. Be signed and dated by the customer and a representative of the licensee.

3. Identify the name, address, and telephone number of the licensee.

4. Identify the name, address, telephone number, and customer identification number.

5. State the date the repayment plan was made, the loan number, and the outstanding balance.

6. State the payment amounts and due dates.

7. Contain a summary of action that could be taken against the customer if the customer does not make the required repayment plan installment payments when due.

(b) The licensee shall furnish the customer a copy of the signed agreement.

(3) Acceptance of plan. No licensee is required to honor a repayment plan offer under sub. (2) that is not accepted by the customer and received by the licensee within 10 days of the date the offer is hand-delivered, mailed or e-mailed to the customer.

(4) Requirements of repayment plan. The repayment plan under s. 138.14 (11g) (a), Stats., shall meet all of the following requirements:

(a) The first payment may not be due earlier than the customer’s next pay day following the date the offer is made.

(b) Except as provided in par. (d), the due date of the 4 equal installments shall coincide with the customer’s pay period schedule, as verified by the customer’s pay stub, payroll receipt, receipt of government or retirement benefits, or other documentation that identifies the frequency of the pay cycle.

(c) If the customer’s income is not received on a consistent, regular cycle, the pay period schedule shall be considered every two weeks and the first payment shall be due two weeks following the date the offer is made.

(d) If documentation to verify the customer’s pay period schedule is not available, the pay period schedule shall be considered to be once a month and the first payment shall be due one month following the date the offer is made.

History: CR 10-098: cr. Register May 2011 No. 665, eff. 6-1-11; CR 12-035: r. and recr. (1), am. (4) (intro.), (b), cr. (4)(d) Register May 2013 No. 689, eff. 6-1-13; CR 22-020: am. (1) (c) 3., (2) (a) 4. Register May 2023 No. 809, eff. 9-1-23; CR 23-039: am. (4) (a) Register March 2024 No. 819, eff. 4-1-24; 2023 Wis. Act 267: am. (1) (c) 3., (2) (a) 4. Register April 2024 No. 820, eff. 1-1-25; merger of (1) (c) 3., (2) (a) 4. treatments by 2023 Wis. Act 267 and CR 22-020 made under s. 13.92 (4) (bm), Stats., Register April 2024 No. 820.

DFI-Bkg 75.09 General matters.

(1) The effective date of a payday loan cannot be prior to the date the loan is signed by the customer.

(2) Notwithstanding s. 138.14 (12) (f), Stats., a licensee is not prohibited from bringing an action to collect the total outstanding balance due on a payday loan, including the service charge permitted under s. 138.14 (10) (b) 2., Stats.

(3) All times referenced in s. 138.14, Stats., are for the Central Time Zone.

History: CR 10-098: cr. Register May 2011 No. 665, eff. 6-1-11.

DFI-Bkg 75.10 Database.

(1) Secure transmission.

(a) Except as otherwise provided in s. 138.14, Stats., a licensee shall transmit all information to the database via the Internet.

(b) In order to maintain the confidentiality and security of the information transmitted to the database, a licensee shall maintain generally accepted security safeguards to maintain the confidentiality and security of information transmitted to the database. The licensee shall install, maintain and regularly update malware protection, antivirus and antispyware software, and a firewall.

(c) A licensee may not transmit information to the database using publicly accessible computers, computers that are not under the licensee’s control, unsecured wireless connections, Wi-Fi connections, or other connections that are not secure.

(2) Customer eligibility.

(a) If the database advises the licensee that an applicant is eligible for a payday loan, the licensee shall record a transaction identification number, generated by the database, on the applicant’s loan document before entering into the payday loan.

(b) If the database advises the licensee that an applicant is ineligible for a payday loan, the licensee shall do all of the following:

1. Inform the applicant of the applicant’s ineligibility.

2. Provide the applicant with the reason for the ineligibility determination given by the database.

3. Instruct the applicant to contact the database provider if the applicant wants more specific information regarding the reason for ineligibility.

4. Provide the applicant with the telephone number of the database provider.

(3) Database updates.

(a) A licensee shall input all information requested by the database into the database when any of the following occur:

1. A payday loan is consummated.

2. A payday loan is repaid with the proceeds of a subsequent payday loan.

3. A customer elects to enter into a repayment plan under s. 138.14 (11g) (a), Stats.

4. A customer’s payday loan is paid in full.

5. A customer elects to rescind his or her payday loan.

6. A customer makes a payment on his or her payday loan.

7. The licensee presents a check for payment or initiates an electronic fund transfer.

8. A customer’s check is dishonored or electronic fund transfer is denied.

9. The licensee assesses a service charge for a dishonored check or denied electronic funds transfer.

10. The licensee collects a service charge for a dishonored check or denied electronic funds transfer.

11. The licensee determines a payday loan is in default.

12. The licensee obtains a judgment against the customer.

13. A customer satisfies a judgment.

14. The licensee collects any court costs or attorney’s fees from a customer.

15. The licensee charges off a payday loan as uncollectible.

16. The division or the database provider determines additional information needs to be submitted to the database.

(b) Except as set forth in sub. (4), information shall be entered into the database on the day the licensee becomes aware of the information.

(c) If a licensee becomes aware of any changes or errors in the information previously verified or transmitted by the licensee to the database, the licensee shall immediately update or correct the database.

(4) Alternate process.

(a) If at the time a licensee receives a loan application the licensee is unable to access the database via the Internet due to technical difficulties occurring with the database, the licensee shall use the database provider’s alternate process to obtain applicant eligibility information from the database.

(b) If a licensee makes a payday loan based on applicant eligibility information obtained from the database provider’s alternate process, the licensee shall transmit to the database any remaining required information no later than 11:59 p.m. on the next business day following the date the database becomes accessible to the licensee via the Internet.

(c) If a licensee is required to transmit to the database information regarding a payday loan that has already been made but the licensee is unable to access the database via the Internet due to technical difficulties occurring with the database, the licensee shall transmit to the database the required information no later than 11:59 p.m. on the date that the database becomes accessible to the licensee via the Internet.

(d) Anytime a licensee is unable to access the database via the Internet due to technical difficulties occurring with the database, the licensee shall document in its records the technical problems it experienced and the date and time that it sought to access the database.

(5) Record retention. Data shall be retained on the database until the database provider receives written approval from the department to archive, delete, or destroy specific information.

(6) Ceasing loan originations.

(a) The plan required by s. 138.14 (14) (o), Stats., shall be received by the division at least 10 business days before a licensee stops originating payday loans.

(b) The provisions of s. 138.14 (14) (d) 5., Stats., do not apply if a licensee is updating the database in accordance with a plan approved by the division under s. 138.14 (14) (o), Stats.

History: CR 10-098: cr. Register May 2011 No. 665, eff. 6-1-11; CR 12-035: am. (3) (a) 3., r. (6), renum. (7), (8) to be (6), (7) Register May 2013 No. 689, eff. 6-1-13; CR 23-039: am. (1) (c), r. (7) Register March 2024 No. 819, eff. 4-1-24.

DFI-Bkg 75.11 Nationwide Multistate Licensing System and Registry; Licensing and Renewal.

(1) Participation.

(a) The division shall utilize the NMLS with respect to applicants and licensees. The division may establish relationships or contracts with the NMLS or other entities designated by the NMLS to collect and maintain records and process transaction fees or other fees. With respect to any form, fee, or other information required to be submitted to the division by an applicant or licensee, the division may require the applicant or licensee to submit such form, fee, or other information directly to the NMLS.

(b) Each applicant and licensee shall register with, and maintain a valid unique identifier issued by, the NMLS.

(c) The division may require an applicant or licensee to provide to the NMLS any information that the division determines to be relevant to the application or to any responsibility administered or conducted through the NMLS that is related to the licensed activity.

(d) The division may require an applicant or licensee, or an individual with the power to direct the management or policies of the applicant or licensee, to submit an independent credit report from a consumer reporting agency, an investigative background report prepared by an independent search firm, fingerprints, or any other personal or professional history information deemed necessary by the division. The division may require fingerprints for the purposes of identifying the individual and to determine whether the individual has a record of warrants, arrests, or convictions in any jurisdiction. Fingerprints may be submitted, directly or as provided in sub. (2), to the federal bureau of investigation and any government agency or entity authorized to receive this information for a state and national criminal history record check.