Wis. Admin. Code Department of Financial Institutions DFI-WCA 1.68

Current through October 28, 2024

Section DFI-WCA 1.68 - Nonjudicial enforcement limited; surrender of collateral

Where a merchant requests or demands the return of collateral, after providing the customer with notice of default and opportunity to cure as required by s. 425.105, Stats., a release of the collateral by the customer is not a surrender under ss. 425.204(3), and 425.206(1) (a), Stats., if the merchant;

1) fails to provide a notice to the customer which clearly informs the customer of the right to a hearing on the issue of default before any repossession, unless the merchant perfects its right to take possession under s. 425.206(1) (d), Stats.;

2) misrepresents any material fact or state of the law to the customer; or

3) violates any provision of ch. 427, Stats. The notice contained in s. 425.105(1), Stats., is not required if the collateral has been abandoned by the customer.

Wis. Admin. Code Department of Financial Institutions DFI-WCA 1.68

CR Register, June, 1973, No. 210, eff. 7-1-73; am. Register, October, 1980, No. 298, eff. 11-1-80; am. Register, July, 1983, No. 331, eff. 8-1-83; correction made under s. 13.93(2m) (b) 7, Stats., Register, May, 1993, No. 449; CR 06-123: am. Register March 2007 No. 613, eff. 4-1-07.