Wis. Admin. Code Department of Financial Institutions DFI-Bkg 74.07

Current through May 28, 2024

Section DFI-Bkg 74.07 - [Effective 1/1/2025] Books and records

(1) RECORDS TO BE MAINTAINED. Every licensee shall maintain in the principal licensed office adequate records which shall include all of the following:

(a) A daily collection record or cash receipt journal in which all collections are recorded and allocated as to total collections, setting forth all of the following:

1. The amount credited to principal, interest, and other charges, such other charges to include non-sufficient fund fees assessed by the creditor, any fees permitted and collected pursuant to s. DFI-Bkg 74.11 (2) (b) to (d), attorney's fees and court costs.

2. The amount due creditors or forwarders.

3. The amount retained as commission or commission paid to forwardees.

4. Paid directs reported and paid direct commissions received.

5. The debtor's name.

6. The date of collection.

7. The creditor's name or a code that identifies the creditor.

(b) A record consisting of asset and liability accounts including a continuous record of all physical assets such as furniture, fixtures and office equipment.

(c) A record of income and expenses.

(d) A record of each debtor's account shall be maintained consisting of all of the following:

1. The name and address of the debtor, creditor, forwarder and forwardee if the account has been forwarded.

2. The original amount listed, the principal amount owing and, if available, the date of the last credit or debit.

3. The amount of interest, cost of legal action instituted, or other charges, if any, and a description thereof.

4. The amount and date of each payment made by the debtor allocating moneys paid to the amount owing, interest, costs and other charges.

5. The current balance due.

(e) Check stubs or transaction registers that disclose all debits to the trust and operating accounts. These stubs or transaction registers shall include all of the following:

1. The date of the check or electronic debit.

2. The name of the payee.

3. The amount of the check or electronic debit.

4. The check number, reference number or indication that there is no check number because remittance was made electronically.

(f) A list of all outstanding trust accounts checks, sorted by account and the date the check was written. The list shall include the date the check was written, the check number, the amount of the check, and the payee.

(g) A master alphabetical listing by name and address of every creditor or forwarder with whom the licensee engages in the business of collecting accounts.

(h) A record of all unused prepaid collection transmittals or listing forms sold, setting forth all of the following:

1. Name and address of the client or purchaser.

2. Date, number or quantity and price of transmittals or listing forms sold each client or purchaser.

3. Number and date client or purchaser used transmittals or listing forms.

(i) After the bank statement has been reconciled each month, cancelled checks together with voided or unused checks, adequately explained, shall be filed in numerical order. The division may approve records and procedures which vary from these requirements if adequate information is available for examination purposes.

(j) A roster of all collectors and solicitors employed by the licensee. The list shall be updated and accurate at all times and set forth all of the following:

1. The individual's first and last name, home address, and indication of whether the individual works from the individual's residence.

2. The first and last name of any alias that is used by the individual, the date the individual started to use the alias, and, if applicable, the date the individual stopped using the alias.

3. The date the individual was hired by the licensee.

4. The date the individual's employment with the licensee was terminated, if applicable.

(2) RECEIPT REQUIREMENT.

(a) Whenever a payment is received from a debtor, forwardee or other person, a receipt showing the date the payment was received shall be prepared and furnished to the debtor except when other positive evidence of a receipt is available.

(b) All manually prepared receipts shall be prepared at least in duplicate, be prenumbered by the printer, be used in consecutive numerical order and be retained in numerical sequence in the office.

(c) All receipts shall show the name and address of the licensee, the amount and date paid, the name of the creditor or creditors, and the name or initials of the collector or person accepting the payment.

Wis. Admin. Code Department of Financial Institutions DFI-Bkg 74.07

CR 06-045: CR Register September 2006 No. 609, eff. 10-1-06.

Amended by, 2013 Wis. Act 136: am. (1) (b), (c) Register March 2014 No. 699, eff. 4-1-14; CR 23-039: am. (1) (intro.), cr. (1) (j) Register February 2024 No. 819, eff. 4/1/2024

Amended by, 2023 Wis. Act 267: cr. (1) (j) Register April 29 No. 820, eff. 1/1/2025; merger of (1) (j) treatments by 2023 Wis. Act 267 and CR 23-039 made under s. 13.92 (4) (bm), Stats., Register April 29 No. 820