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Registration Under the Wisconsin Consumer Act

Definition of a Consumer Credit Transaction

Generally, a consumer credit transaction is any loan, lease or sale under $25,000 primarily made for a personal, family or household purpose on which a finance charge is or may be assessed, or is payable in more than four installments. For a complete definition and exclusions from the definition, see Chapter 421, Wis. Stats.

Some examples include:

  • consumer and student loans
  • single-pay notes, where interest is assessed;
  • any accounts receivable where there is a balance at the end of the month;
  • second mortgages if the institution holding the second mortgage does not hold the first mortgage;
  • checking account overdraft protection programs.

Examples of transactions that are not consumer credit transactions under the Wisconsin Consumer Act:

  • first mortgages.
  • the extension of credit to businesses, including transactions primarily for an agricultural purpose.
  • transactions, including those to consumers, in which the amount financed exceeds $25,000.