SB556: Bill Text

SB556,1 Section 1. 425.1025 of the statutes is created to read:

SB556,3,3 425.1025 Definition. In this subchapter, "billing statement" means a statement issued pursuant to 15 USC 1637 (b).

SB556,2 Section 2. 425.105 (2) of the statutes is amended to read:

SB556,4,7 425.105 (2) Except as provided in subs. (3) and to (3m), for 15 days after such notice is given, a customer may cure a default under a consumer credit transaction by tendering the amount of all unpaid installments due at the time of the tender, without acceleration, plus any unpaid delinquency or deferral charges, and by tendering performance necessary to cure any default other than nonpayment of amounts due. The act of curing a default restores to the customer the customer's rights under the agreement as though no default had occurred.

SB556,3 Section 3. 425.105 (3g) of the statutes is created to read:

SB556,4,11 425.105 (3g) A right to cure shall not exist with respect to a consumer credit transaction pursuant to an open-end credit plan involving a credit card issued by a national bank.

SB556,4 Section 4. 425.109 (1) (intro.) of the statutes is amended to read:

SB556,4,14 425.109 (1) (intro.) A complaint by a creditor merchant to enforce any cause of action arising from a consumer credit transaction shall include all of the following:

SB556,5 Section 5. 425.109 (1) (b) of the statutes is amended to read:

SB556,4,17 425.109 (1) (b) A description of the collateral or leased goods, if any, which the creditor merchant seeks to recover or has recovered.

SB556,6 Section 6. 425.109 (1) (d) of the statutes is renumbered 425.109 (1) (d) 1. and amended to read:

SB556,5,6 425.109 (1) (d) 1. The If the consumer credit transaction is pursuant to an open-end credit plan, the actual or estimated amount of U.S. dollars or of a named foreign currency that the creditor alleges he or she is entitled to recover and the figures necessary for computation of the amount, including any amount received from the sale of any collateral alleged to be due to the merchant on a date certain after the customer's default, as reflected on a billing statement addressed to the customer, and a breakdown of all charges, interest, and payments, including any amount received from the sale of any collateral, occurring after this date certain. This paragraph does not require a specific itemization, but the breakdown shall identify separately the amount due on a date certain, the total of all charges occurring after this date certain, the total of all interest occurring after this date certain, and the total of all payments occurring after this date certain.

SB556,7 Section 7. 425.109 (1) (d) 2. of the statutes is created to read:

SB556,5,16 425.109 (1) (d) 2. If the consumer credit transaction is other than one pursuant to an open-end credit plan, the actual or estimated amount of U.S. dollars or of a named foreign currency alleged to be due to the merchant on a date certain after the customer's default, and a breakdown of all charges, interest, and payments, including any amount received from the sale of any collateral, occurring after this date certain. This paragraph does not require a specific itemization, but the breakdown shall identify separately the amount due on a date certain, the total of all charges occurring after this date certain, the total of all interest occurring after this date certain, and the total of all payments occurring after this date certain.

SB556,8 Section 8. 425.109 (1) (f) of the statutes is amended to read:

SB556,5,23 425.109 (1) (f) Except in an action to recover goods subject to a consumer lease, the estimated amount of U.S. dollars or of a named foreign currency of any deficiency claim which may be available to the creditor merchant following the disposition of any collateral recovered subject to the limitations of s. 425.209 or which the creditor merchant seeks to recover and which the creditor merchant intends to assert subject to the limitations of s. 425.210 if the customer fails to redeem the collateral.

SB556,9 Section 9. 425.109 (1) (h) of the statutes is amended to read:

SB556,6,6 425.109 (1) (h) An Subject to sub. (2) and s. 425.205 (4), an accurate copy of the writings, if any, evidencing the transaction, except that with respect to claims arising under open-end credit plans, a statement that the creditor merchant will submit accurate copies of the writings evidencing the customer's obligation to the court and the customer upon receipt of the customer's written request therefor on or before the return date or the date on which the customer's answer is due.

SB556,10 Section 10. 425.109 (2) of the statutes is amended to read:

SB556,6,18 425.109 (2) Upon the written request of the customer under sub. (1) (h), the creditor merchant shall submit accurate copies to the court and the customer of writings evidencing any transaction the customer's obligation pursuant to an open-end credit plan upon which the creditor's merchant's claim is made and default judgment may not be entered for the creditor merchant unless the creditor merchant does so. The writings requirement under this subsection is satisfied if the merchant provides the customer with a copy of the last billing statement addressed to the customer reflecting the total outstanding balance on the customer's account at the time this billing statement was issued. If this billing statement is attached to the complaint, then the statement under sub. (1) (h) is not required to be included in the complaint.

SB556,11 Section 11. 425.109 (3) of the statutes is amended to read:

SB556,6,21 425.109 (3) A default judgment may not be entered upon a complaint which fails to comply with this section.

SB556,12 Section 12. 425.109 (4) of the statutes is created to read:

SB556,7,2 425.109 (4) For purposes of subchs. III and IV, a complaint that fails to comply with this section does not constitute a violation of chs. 421 to 427, and shall not give rise to recovery of attorney fees under s. 425.308, unless the customer establishes by a preponderance of the evidence that the failure to comply was willful or intentional.

SB556,13 Section 13. 425.205 (4) of the statutes is amended to read:

SB556,7,13 425.205 (4) Upon the written request of the customer under s. 425.109 (2), the merchant shall produce an accurate copy of writings evidencing any transactions the customer's obligation pursuant to an open-end credit plan upon which the merchant's claim is made, and default judgment shall not be entered for the merchant until unless the merchant does so. The writings requirement under this subsection is satisfied if the merchant provides the customer with a copy of the last billing statement addressed to the customer reflecting the total outstanding balance on the customer's account at the time this billing statement was issued. If this billing statement is attached to the complaint, then the statement under s. 425.109 (1) (h) is not required to be included in the complaint.

SB556,14 Section 14. Initial applicability.

SB556,7,18 (1) The treatment of sections 425.1025, 425.109 (1) (intro.), (b), (f), and (h), (2), (3), and (4) and 425.205 (4) of the statutes, the renumbering and amendment of section 425.109 (1) (d) of the statutes, and the creation of section 425.109 (1) (d) 2. of the statutes first apply to complaints filed on the effective date of this subsection.

SB556,15 Section 15. Effective date.

SB556,7,24 (1) The treatment of sections 425.1025, 425.109 (1) (intro.), (b), (f), and (h), (2), (3), and (4) and 425.205 (4) of the statutes, the renumbering and amendment of section 425.109 (1) (d) of the statutes, and the creation of section 425.109 (1) (d) 2. of the statutes take effect on the first day of the 4th month beginning after publication.

SB556,7,25 (End)