Wisconsin Statutes & Annotations
Chapter 422 - Consumer credit transactions.
422.418 - Security interests: consolidations; open-end credit plans.

422.418 Security interests: consolidations; open-end credit plans.
(1) The parties may agree in a consolidation agreement under s. 422.206 that the creditor may secure the consolidated obligation by a security interest in property in which the creditor has an existing security interest as a result of the prior transaction which is one of those agreed to become consolidated.
(2) For the purpose of determining the extent to which a consolidated obligation is secured after a consolidation of consumer sales, and after a consolidation of consumer loans in which one or more of the loans consolidated is secured by a purchase money security interest in property of the type described in s. 422.417 (3) (a), payments received by the creditor after a consolidation agreement are deemed to have been first applied to the payment of obligations arising from the transactions first made. To the extent that obligations are paid pursuant to this section, security interests in items of property terminate as the obligation originally incurred with respect to each item is paid.
(3) Payments received by the creditor upon an open-end credit plan are deemed, for the purpose of determining the amount of the unpaid balance secured by the various security interests, to have been applied first to the payment of finance charges in the order of their entry to the account, and then to the payment of the respective amounts financed in the order in which the entries to the account were made.
(4) If obligations consolidated or financed pursuant to an open-end credit plan arise from 2 or more transactions made on the same day, payments received by the creditor are deemed, for the purpose of determining the amount of the obligation secured by the various security interests, to have been applied first to the payment of the smallest obligation.
History: 1971 c. 239; 1973 c. 3; 1997 a. 302.

Structure Wisconsin Statutes & Annotations

Wisconsin Statutes & Annotations

Chapter 422 - Consumer credit transactions.

422.101 - Short title.

422.102 - Scope.

422.201 - Finance charge for consumer credit transactions.

422.202 - Additional charges.

422.203 - Delinquency charges.

422.204 - Deferral charges.

422.205 - Finance charge on refinancing.

422.206 - Finance charge on consolidation.

422.207 - Advances to perform agreements of customer.

422.208 - Right to prepay.

422.209 - Rebate on prepayment.

422.210 - Agricultural credit transactions.

422.301 - Requirements of federal act.

422.302 - General requirements and provisions.

422.303 - Form requirements other than open-end or discount.

422.304 - Prohibition of blank writings.

422.305 - Notice to obligors.

422.306 - Receipts; accounting; evidence of payment.

422.307 - Estimates or approximations.

422.308 - Open-end credit disclosures.

422.310 - Refund anticipation loans.

422.401 - Scope.

422.402 - Balloon payments prohibited.

422.403 - Maximum periods of repayment.

422.404 - Assignment of earnings.

422.405 - Authorization to confess judgment prohibited.

422.406 - Negotiable instruments.

422.407 - Defenses assertable against an assignee.

422.408 - Interlocking loans.

422.409 - Notice of assignment.

422.410 - Statements of compliance or performance.

422.411 - Attorney fees.

422.412 - Restriction on liability in consumer lease.

422.413 - Limitation on default charges.

422.414 - Use of multiple agreements.

422.415 - Changes in open-end credit terms.

422.4155 - Notice of termination of liability.

422.416 - Referral transactions prohibited.

422.417 - Restrictions on security interests.

422.418 - Security interests: consolidations; open-end credit plans.

422.419 - Waivers prohibited.

422.420 - Cosigner charges.

422.421 - Variable rate transaction.

422.422 - Cash discounts.

422.501 - Definitions.

422.502 - Registration requirements.

422.503 - Prohibited activities.

422.504 - Information statement.

422.505 - Contracts.

422.506 - Waiver.