reglab/statecodes huggingface dataset:
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.02 - Banking, defined.

224.02
Banking, defined.
The soliciting, receiving, or accepting of money or its equivalent on deposit as a regular business by any person, partnership, association, or corporation, shall be deemed to be doing a banking business, whether such deposit is made subject to check or is evidenced by a certificate of deposit, a passbook, a note, a receipt, or other writing, provided that nothing herein shall apply to or include money left with an agent, pending investment in real estate or securities for or on account of the agent's principal.
History:  991 a. 316; 1993 a. 490; 2005 a. 158.
A “junior achievement" bank would be a banking business and violate s. 224.03. 62 Atty. Gen. 254.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.03 - Banking, unlawful, without charter; penalty.

224.03
Banking, unlawful, without charter; penalty.
It shall be unlawful for any person, partnership, association, or corporation to do a banking business without having been regularly organized and chartered as a national bank, a state bank or a trust company bank. Any person or persons violating any of the provisions of this section, either individually or as an interested party in any partnership, association, or corporation shall be guilty of a misdemeanor and on conviction thereof shall be fined not less than $300 nor more than $1,000 or imprisoned in the county jail for not less than 60 days nor more than one year or both.
History:  1991 a. 221; 1993 a. 490; 1995 a. 417.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.05 - Municipality not preferred creditor.

224.05
Municipality not preferred creditor.
If any bank, banking institution or trust company, being indebted to the state of Wisconsin, or indebted to any county, city, town or other municipality therein, for deposits made or indebtedness incurred after April 23, 1899, becomes insolvent or bankrupt, except as provided in s. 34.07, the state, county, city, town or other municipality shall not be a preferred creditor and shall have no preference or priority of claim whatever over any other creditor or creditors thereof; but a just and fair distribution of the property of such bank, banking institution or trust company, and of the proceeds thereof, shall be made among the creditors thereof proportionally, according to the amount of their respective claims. Nothing herein contained shall in any manner affect the provisions of law as they existed on said date providing for the payment of unpaid taxes and assessments, laborer's claims, expenses of assignment and execution of the trust.
History:  1979 c. 110 s. 60 (12); 1985 a. 257.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.06 - Fidelity bonds for bank officers and employees.

224.06
Fidelity bonds for bank officers and employees.
(1)
As a condition precedent to qualification or entry upon the discharge of his or her duties, every person appointed or elected to any position requiring the receipt, payment or custody of money or other personal property owned by a bank or in its custody or control as collateral or otherwise, shall give a bond from an insurer qualified under s. 610.11 to do business in this state, in such adequate sum as the directors shall require and approve. In lieu of individual bonds the division may accept a schedule or blanket bond which covers all of the officers and employees of any bank whose duties include the receipt, payment or custody of money or other personal property for or on behalf of the bank. All such bonds shall be in the form prescribed by the division.
(2)
No officer or employee who is required to give bond shall be deemed qualified nor shall be permitted to enter upon the discharge of duties until the bond is approved by a majority of the board of directors. The minute books of each bank shall contain a record of each bond executed and approved.
(3)
Such bond shall be sufficient in amount to protect the bank from loss by reason of acts of fraud or dishonesty including forgery, theft, embezzlement, wrongful abstraction or misapplication on the part of the person, directly or through connivance with others. At any time the division may require additional bond or security, when in the division's opinion, the bonds then executed and approved are insufficient.
(4)
Every such bond shall provide that no cancellation or other termination of the bond shall be effective unless the surety gives in advance at least 10 days' written notice by registered mail to the division. If the bond is canceled or terminated at the request of the insured (employer), the surety shall give the written notice to the division within 10 days after the receipt of such request.
(5)
For reasons which the division deems valid and sufficient the division may waive as to the cancellation or termination of any such bond the 10-day written notice in advance required by sub. (4) and may give written consent to the termination or cancellation being made effective as of a date agreed upon and requested by the surety and the bank.
(6)
The provisions required by sub. (4) to be in every such bond shall not in any way modify, impair or otherwise affect or render invalid a provision therein to the effect that the bond shall terminate as to any person covered thereby upon the discovery by the bank of any dishonest act on the part of such person.
(7)
Any violation of the provisions contained in subs. (1) and (2) shall subject the bank to a fine of $100 per day for each consecutive day of such violation and it shall be the duty of the attorney general to recover any such penalties by action for and in behalf of the state.
History:  1983 a. 119, 538; 1987 a. 252; 1989 a. 359; 1991 a. 316; 1995 a. 27.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.07 - Checks to clear at par.

224.07
Checks to clear at par.
Checks drawn on any bank or trust company, organized under the laws of this state, shall be cleared at par by the bank or trust company on which they are drawn. Any bank or trust company, or officer or employee thereof, who violates the provisions of this section shall be guilty of a misdemeanor and punished as provided in s. 939.61.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.075 - Financially related services tie-ins.

224.075
Financially related services tie-ins.
In any transaction conducted by a bank, bank holding company or a subsidiary of either with a customer who is also a customer of any other subsidiary of any of them, the customer shall be given a notice in 12-point boldface type in substantially the following form:
NOTICE OF RELATIONSHIP
This company, .... (insert name and address of bank, bank holding company or subsidiary), is related to .... (insert name and address of bank, bank holding company or subsidiary) of which you are also a customer. You may not be compelled to buy any product or service from either of the above companies or any other related company in order to participate in this transaction.
If you feel that you have been compelled to buy any product or service from either of the above companies or any other related company in order to participate in this transaction, you should contact the management of either of the above companies at either of the above addresses or the division of banking at .... (insert address).
History:  1985 a. 325; 1995 a. 27.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.10 - Indian loan funds.

224.10
Indian loan funds.
(1)
Administration in trust as a loan fund. The loan funds of any Indian tribe which are transferred to the custody of such tribe by the United States, including any outstanding loan accounts, shall be administered as follows:
(a)
The funds shall be held in trust by the tribe or a legal entity thereof as an Indian loan fund, for the purpose of making loans to members of the tribe.
(b)
Management of an Indian loan fund shall be vested in a board of trustees, which may hire necessary personnel to administer the loan fund. The board of trustees shall consist of 5 members of the tribe and shall be appointed annually by the governing body of the tribe.
(c)
The Indian loan fund in custody of the Menominee Indian Tribe and administered by a board of trustees appointed by that tribe shall, at the termination of federal control, be administered, subject to this section, by a board of 5 trustees appointed annually by the stockholders of the corporation described in s. 710.05, 1973 stats., and shall be used for making loans to those who were enrolled tribal members as proclaimed by the secretary of the interior as of June 17, 1954, and their spouses and descendants and to any additional classes recommended by the trustees.
(3)
Rules of board of trustees. The board of trustees of an Indian loan fund may establish rules for the administration of the fund.
History:  1975 c. 422 s. 163; 1987 a. 252.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.25 - Customer access to appraisals.

224.25
Customer access to appraisals.
If requested by an individual who is a customer, loan applicant or credit applicant, a financial institution, as defined in s. 705.01 (3), shall provide that individual with a copy of any written appraisal report which is held by the financial institution, which relates to residential real estate that the individual owns or has agreed to purchase and for which a fee is imposed.
History:  1991 a. 78; 1997 a. 191 s. 236; Stats. 1997 s. 224.25.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.26 - Customer access to credit reports.

224.26
Customer access to credit reports.
If requested by an individual who is a customer, loan applicant or credit applicant, a financial institution, as defined in s. 705.01 (3), shall provide that individual, at no additional charge, with a copy of any written credit report which is held by the financial institution, which relates to that individual and for which a fee is imposed.
History:  1993 a. 425; 1997 a. 191 s. 237; Stats. 1997 s. 224.26.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.40 - Disclosure of financial records for child support enforcement.

224.40
Disclosure of financial records for child support enforcement.
(1)
Definitions. In this section:
(a)
“County child support agency" means a county child support agency under s. 59.53 (5).
(b)
“Financial institution" has the meaning given in s. 49.853 (1) (c).
(c)
“Financial record" has the meaning given in 12 USC 3401.
(2)
Financial record matching agreements. A financial institution is required to enter into an agreement with the department of children and families in accordance with rules promulgated under s. 49.853 (2).
(3)
Limited liability. A financial institution is not liable for any of the following:
(a)
Disclosing a financial record of an individual to the county child support agency attempting to establish, modify or enforce a child support obligation of the individual.
(b)
Disclosing information to the department of children and families or a county child support agency pursuant to the financial record matching program under s. 49.853.
(c)
Encumbering or surrendering any assets held by the financial institution in response to instructions provided by the department of children and families or a county child support agency for the purpose of enforcing a child support obligation.
(d)
Any other action taken in good faith to comply with s. 49.853 or 49.854.
History:  1997 a. 191; 2007 a. 20.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.42 - Disclosure of financial records for Medical Assistance and food stamp program eligibility.

224.42
Disclosure of financial records for Medical Assistance and food stamp program eligibility.
(1)
Definitions. In this section:
(a)
“Financial institution" has the meaning given in s. 49.45 (4m) (a) 3.
(b)
“Financial record" has the meaning given in 12 USC 3401 (2).
(2)
Financial record matching agreements. A financial institution is required to enter into an agreement with the department of health services under ss. 49.45 (4m) and 49.79 (1t).
(3)
Limited liability. A financial institution is not liable for any of the following:
(a)
Disclosing a financial record of an individual or other information to the department of health services in accordance with an agreement, and its participation in the program, under s. 49.45 (4m) or 49.79 (1t).
(b)
Any other action taken in good faith to comply with s. 49.45 (4m) or 49.79 (1t).
History:  2011 a. 192; 2013 a. 20; 2017 a. 59.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.44 - Disclosure of financial records for collection of unemployment insurance debt.

224.44
Disclosure of financial records for collection of unemployment insurance debt.
(1)
Definitions. In this section:
(a)
“Financial institution" has the meaning given in 12 USC 3401 (1).
(b)
“Financial record" has the meaning given in 12 USC 3401 (2).
(2)
Financial record matching agreements. A financial institution is required to enter into an agreement with the department of workforce development under s. 108.223.
(3)
Limited liability. A financial institution is not liable for any of the following:
(a)
Disclosing a financial record of an individual or other information to the department of workforce development in accordance with an agreement, and its participation in the program, under s. 108.223.
(b)
Any other action taken in good faith to comply with s. 108.223.
History:  2013 a. 36.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.46 - Independent data processing servicers.

224.46
Independent data processing servicers.
(1)
Definitions. In this section:
(a)
“Financial institution" has the meaning given in s. 214.01 (1) (jn).
(b)
“Independent data processing servicer" means an entity that provides to a financial institution electronic data processing services, but not including the exchange of data and settlement of funds between 2 or more unaffiliated financial institutions resulting from transactions involving remote terminals under s. 186.113 (15), remote service units under s. 214.04 (21) or 215.13 (46), or customer bank communications terminals under s. 221.0303 (2).
(c)
“Interface agreement" means a written agreement specifying the terms and conditions under which an interface of communications, data, or systems between independent data processing servicers shall be accomplished.
(2)
Ownership of financial institution data. If a financial institution transfers or otherwise makes available to an independent data processing servicer any data from the financial institution's records, this data shall remain the property of the financial institution. The independent data processing servicer has no right, title, or interest in, or claim to legal ownership of, the data. The transfer of the data by the financial institution authorizes the independent data processing servicer only to exercise temporary control of the data for the limited purpose of performing the contracted services requested by the financial institution. This subsection also applies with respect to an independent data processing servicer that receives a financial institution's data under an interface agreement or other agreement with another independent data processing servicer.
(3)
Contract disclosures by independent data processing servicers. No independent data processing servicer may enter into a contract with a financial institution, or renew or amend such a contract, unless the contract discloses, in separate contract provisions, all of the following:
(a)
All fees or charges, including any fee schedule, that the independent data processing servicer may impose on the financial institution.
(b)
Any formula or other grounds that the independent data processing servicer may apply or rely upon to terminate the contract.
History:  2019 a. 65.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.51 - College savings program vendor.

224.51
College savings program vendor.
(1g)
In this section, “department” means the department of financial institutions.
(1m)
The department shall determine the factors to be considered in selecting a vendor of the program under s. 224.50, which shall include:
(a)
The person's ability to satisfy record-keeping and reporting requirements.
(b)
The fees, if any, that the person proposes to charge account owners.
(c)
The person's plan for promoting the college savings program and the investment that the person is willing to make to promote the program.
(d)
The minimum initial contribution or minimum contributions that the person will require.
(e)
The ability and willingness of the person to accept electronic contributions.
(f)
The ability of the person to augment the college savings program with additional, beneficial services related to the program.
(2)
The department shall solicit competitive sealed proposals under s. 16.75 (2m) from nongovernmental persons to serve as vendor of the college savings program. The department shall select the vendor based upon factors determined by the department under sub. (1m).
(3)
The contract between the department and the vendor shall ensure all of the following:
(a)
That the vendor reimburses the state for all administrative costs that the state incurs for the college savings program.
(b)
That a firm of certified public accountants selected by the vendor annually audits the college savings program and provides a copy of the audit to the college savings program board.
(c)
That each account owner receives a quarterly statement that identifies the contributions to the college savings account during the preceding quarter, the total contributions to and the value of the college savings account through the end of the preceding quarter and any distributions made during the preceding quarter.
(d)
That the vendor communicate to the beneficiary and account owner the requirements of s. 224.50 (8).
History:  1999 a. 44; 2001 a. 38 s. 12; 2011 a. 32; 2017 a. 59 ss. 114 to 117, 1706; Stats. 2017 s. 224.51.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.52 - Repayment to the general fund.

224.52
Repayment to the general fund.
(1)
The secretary of administration shall transfer from the tuition trust fund, the college savings program trust fund, the college savings program bank deposit trust fund, or the college savings program credit union deposit trust fund to the general fund an amount equal to the amount expended from the appropriations under s. 20.505 (9) (a), 1995 stats., s. 20.585 (2) (a), 2001 stats., and s. 20.585 (2) (am), 2001 stats., when the secretary of administration determines, after consultation with the secretary of financial institutions, that funds in those trust funds are sufficient to make the transfer. The secretary of administration may make the transfer in installments.
(2)
Annually, by June 1, the secretary of financial institutions, after consultation with the secretary of administration, shall submit a report to the joint committee on finance on the amount available for repayment under sub. (1), the amount repaid under sub. (1), and the outstanding balance under sub. (1).
History:  2001 a. 16; 2003 a. 33; 2005 a. 478; 2011 a. 32 s. 77; Stats. 2011 s. 16.642; 2017 a. 59 s. 150; Stats. 2017 s. 224.52.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.722 - Registered entities.

224.722
Registered entities.
(1)
A depository institution may apply for registered entity status with the division. The application shall be on forms and in the manner prescribed by the division and the applicant shall pay the same fee as that established by rule under s. 224.72 (8) for mortgage bankers. The application shall be accompanied by a commercial surety bond in the amount of $300,000 that is issued by a surety company authorized to do business in this state and is written on a form that is acceptable to the division.
(2)
Upon the filing of an application for registered entity status and the payment of the required fee, the division shall make an investigation of the applicant. If the application is complete, and the division has no concerns regarding the applicant's character, general fitness, or financial responsibility, the division shall register the applicant as a registered entity.
(3)
Each registered entity shall register with the division each branch office where a mortgage loan originator sponsored by the registered entity engages in business as a mortgage loan originator. Applications for branch office registration shall be made on forms and in the manner prescribed by the division and shall be accompanied by the same fee as that established by rule for branch offices of mortgage bankers.
(5)
A depository institution's registered entity status, and the registration of all of its registered branch offices, expires on December 31 of each year.
(6)
A registered entity may apply to renew its registered entity status, and the registration of all of its registered branch offices, by timely submitting, on forms and in the manner prescribed by the division, a completed renewal application for the registered entity and for each branch office, along with the applicable fee under sub. (1) or (3). The division may not renew registered entity status under this section unless the division finds that the registered entity continues to meet the minimum standards for registration under this section.
(7)
If a registered entity fails to satisfy the minimum standards for renewal of its registration, its registration shall expire. If a registered entity fails to satisfy any requirement under sub. (6) for renewing its registration of a branch office, the registration for that branch office shall expire.
(8)
A registered entity shall cooperate with, and provide access to records and documents required by, the division to carry out examinations in accordance with s. 224.74 (2) of mortgage loan originators that are sponsored by the registered entity.
History:  2013 a. 360.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.73 - Relationship between mortgage loan originator and a mortgage banker, mortgage broker, or registered entity; branch offices.

224.73
Relationship between mortgage loan originator and a mortgage banker, mortgage broker, or registered entity; branch offices.
(1)
Responsibility for mortgage loan originator. A mortgage banker, mortgage broker, or registered entity is responsible for, and shall supervise the acts of, a mortgage loan originator or any other person who otherwise acts on behalf of the mortgage banker, mortgage broker, or registered entity.
(2)
Restriction on mortgage loan originator.
(a)
If the division suspends or revokes a mortgage banker's or mortgage broker's license or a registered entity's registration, a mortgage loan originator may not act on behalf of that mortgage banker, mortgage broker, or registered entity during the period of suspension or revocation.
(b)
A mortgage loan originator may act on behalf of only the mortgage banker, mortgage broker, or registered entity with which that mortgage loan originator's license is associated in the records of the division. A mortgage loan originator's license may only be associated with one mortgage banker, mortgage broker, or registered entity at a time.
(3)
Transfer by mortgage loan originator.
(a)
A licensed mortgage loan originator may apply, on forms and in the manner prescribed by the division, to transfer association to another licensed mortgage banker or mortgage broker or a registered entity. The division shall promulgate rules establishing a fee for a transfer application under this subsection.
(b)
A mortgage loan originator may not act on behalf of a mortgage banker, mortgage broker, or registered entity until the mortgage loan originator's license association has been transferred to that mortgage banker, mortgage broker, or registered entity in the records of the division.
(5)
Mortgage loan originators and branch offices.
(a)
A mortgage loan originator shall be assigned to and work out of a licensed or registered office or branch office of the sponsoring mortgage banker, mortgage broker, or registered entity. This office shall either be the mortgage loan originator's residence or be within 100 miles of the mortgage loan originator's residence.
(b)
At each branch office of a mortgage banker or registered entity at which residential mortgage loans are originated for the mortgage banker or registered entity or for another person, and at each branch office of a mortgage broker, there shall be at least one licensed mortgage loan originator assigned to and working out of the office. If an individual is identified as a branch manager for the office, either in the records of the division or in the records of the mortgage banker, mortgage broker, or registered entity, the individual must be licensed as a mortgage loan originator.
History:  1987 a. 359; 1987 a. 403 ss. 182, 256; Stats. 1987 s. 440.73; 1991 a. 39; 1995 a. 27 s. 6594; Stats. 1995 s. 224.73; 1997 a. 145; 2003 a. 260; 2009 a. 2; 2013 a. 360.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.76 - Mortgage banker, mortgage loan originator, and mortgage broker trust accounts.

224.76
Mortgage banker, mortgage loan originator, and mortgage broker trust accounts.
A mortgage banker, mortgage loan originator, or mortgage broker shall deposit in one or more trust accounts all funds other than nonrefundable fees which it receives on behalf of any person, pending disbursement of the funds in accordance with instructions from the person on whose behalf the funds are deposited. A mortgage banker or mortgage broker shall maintain trust accounts in a depository institution. The mortgage banker or mortgage broker shall notify the division of the location of its trust accounts.
History:  1987 a. 359; 1987 a. 403 s. 182; Stats. 1987 s. 440.76; 1995 a. 27 s. 6597; Stats. 1995 s. 224.76; 1997 a. 145; 2009 a. 2.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.80 - Penalties and private cause of action.

224.80
Penalties and private cause of action.
(1)
Penalties. A person who violates any provision of this subchapter or any rule promulgated under this subchapter may be fined not more than $25,000 or imprisoned for not more than 9 months or both. The district attorney of the county where the violation occurs shall enforce the penalty under this subsection on behalf of the state.
(2)
Private cause of action. A person who is aggrieved by an act which is committed by a mortgage banker, mortgage loan originator, or mortgage broker in violation of any provision of this subchapter or of any rule promulgated under this subchapter may recover all of the following in a private action:
(a)
An amount equal to the greater of the following:
1.
Twice the amount of the cost of loan origination connected with the transaction, except that the liability under this subdivision may not be less than $100 nor greater than $25,000 for each violation.
2.
The actual damages, including any incidental and consequential damages, which the person sustained because of the violation.
(b)
The aggregate amount of costs and expenses which the court determines were reasonably incurred by the person in connection with the action, together with reasonable attorney fees, notwithstanding s. 814.04 (1).
History:  1987 a. 359; 1987 a. 403 ss. 182, 256; Stats. 1987 s. 440.80; 1989 a. 45; 1995 a. 27 s. 6602; Stats. 1995 s. 224.80; 1997 a. 145; 2003 a. 260; 2009 a. 2.
A “person who is aggrieved" under sub. (2) is one who suffered at least some actual injury or damage. Avudria v. McGlone Mortgage Company, Inc. 2011 WI App 95, 334 Wis. 2d 480, 802 N.W.2d 524, 10-2032.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.81 - Limitation on actions for commissions and other compensation.

224.81
Limitation on actions for commissions and other compensation.
A person who is engaged in the business or acting in the capacity of a mortgage banker, mortgage loan originator, or mortgage broker in this state may not bring or maintain an action in this state to collect a commission, money, or other thing of value for performing an act as a mortgage banker, mortgage loan originator, or mortgage broker without alleging and proving that the person was licensed under this subchapter as a mortgage banker, mortgage loan originator, or mortgage broker when the alleged cause of action arose.
History:  1987 a. 359; 1987 a. 403 s. 182; Stats. 1987 s. 440.81; 1995 a. 27 s. 6603; Stats. 1995 s. 224.81; 1997 a. 145; 2009 a. 2.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.82 - Compensation presumed.

224.82
Compensation presumed.
In a prosecution arising from a violation of this subchapter, proof that a person acted as a mortgage banker, mortgage loan originator, or mortgage broker is sufficient, unless rebutted, to establish that compensation was received by, or promised to, that person.
History:  1987 a. 359; 1987 a. 403 s. 182; Stats. 1987 s. 440.82; 1995 a. 27 s. 6604; Stats. 1995 s. 224.82; 1997 a. 145; 2009 a. 2.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.90 - Definitions.

224.90
Definitions.
In this subchapter:
(1)
“Division" means the division of banking.
(2)
“In control" means any of the following:
(a)
Owning 10 percent or more of the outstanding voting stock of a nondepository lender.
(b)
Possessing, directly or indirectly, alone or in concert with others, the power to control or vote 10 percent or more of the outstanding voting stock of a nondepository lender or to elect or control the election of a majority of the board of directors of a nondepository lender.
(3)
“Licensee" means a lender licensed under this subchapter.
(4)
“Nondepository lender" means a commercial small business lender that participates in the loan guarantee program of the U.S. small business administration described in 13 CFR 120.2 (a) and that provides financial assistance to small businesses that qualify for financial assistance pursuant to 15 USC 636 (a). “Nondepository lender" does not include a bank, credit union, savings and loan association or savings bank.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.923 - License application.

224.923
License application.
An application for a license under this subchapter shall be made to the division in writing on a form to be prescribed by the division. An application for a license under this subchapter shall state the full name and business address of the applicant and each officer, director and person in control of the applicant. The application also shall contain the applicant's federal employer identification number. In addition, the application shall contain the applicant's business plan, 3 years of detailed financial projections and other relevant information, all as prescribed by the division.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.927 - Disclosure of certain application information.

224.927
Disclosure of certain application information.
The division may not disclose an applicant's federal employer identification number received under s. 224.923, except as follows:
(1)
The division may disclose the information to the department of revenue for the sole purpose of requesting certifications under s. 73.0301 and to the department of workforce development for the sole purpose of requesting certifications under s. 108.227.
(2)
The division may disclose the information to the department of children and families in accordance with a memorandum of understanding under s. 49.857.
History:  1999 a. 9; 2007 a. 20; 2013 a. 36.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.93 - License approval.

224.93
License approval.
After a review of information regarding the directors, officers and controlling persons of the applicant for a license, a review of the applicant's business plan, including at least three years of detailed financial projections and other information considered relevant by the division, the division may approve an application for a license if the division determines that all of the following conditions are met:
(1)
The applicant has at least $500,000 in capital and the amount of capital is adequate for the applicant to transact business as a nondepository lender.
(2)
Each director, officer and person in control of the applicant is of good character and sound financial standing; the directors and officers of the applicant are competent to perform their functions with respect to the applicant and the directors and officers of the applicant are collectively adequate to manage the business of the applicant as a nondepository lender.
(3)
The business plan of the applicant will be honestly and efficiently conducted in accordance with the intent and purpose of this subchapter.
(4)
The proposed activity of the applicant possesses a reasonable prospect for success.
(5)
The applicant has paid to the division the application fee prescribed by the division, together with the actual cost incurred by the division in investigating the application.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.935 - Expiration of license.

224.935
Expiration of license.
(1)
Generally. Except as provided under sub. (2), a license issued under this subchapter expires on the June 30 following the date on which the license was issued.
(2)
Change in control of licensee. A change in the identity or number of individuals that are in control of a licensee terminates the licensee's license under this subchapter, unless the licensee applies to the division for and receives a renewal of the license no later than 15 days after the change in control.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.94 - Renewal of license.

224.94
Renewal of license.
Except as provided under s. 224.935 (2), a licensee shall renew its license by submitting to the division a renewal application and the renewal fee as prescribed by the division not less than 60 days before the date on which the license expires. A renewal application is subject to the same criteria as the criteria for approval of an original license.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.97 - Division review of nondepository lender operations.

224.97
Division review of nondepository lender operations.
The division may, at any reasonable time, examine the books of account, records, condition and affairs of a nondepository lender licensed under this subchapter. The division shall examine the books of account, records, condition and affairs of every nondepository lender licensed under this subchapter at least once during every 12 month period. The division shall prepare a report of each examination conducted under this section. As part of an examination under this section or as part of the preparation of an examination report, the division may examine under oath any person in control, officer, director, agent, employee or customer of the nondepository lender. The division may require a nondepository lender that is examined under this section to pay to the division a reasonable fee for the costs of conducting the examination.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.98 - Powers of licensee.

224.98
Powers of licensee.
A licensee may do any of the following:
(1)
Participate in the loan guaranty program under 15 USC 636 (a).
(2)
Participate in any other government program for which the licensee is eligible and which has as its function the provision or facilitation of financing or management assistance to business firms.
History:  1999 a. 9.
2023 Wisconsin Statutes & Annotations › Chapter 224 - Miscellaneous banking and financial institutions provisions. › 224.985 - Required records and reports.

224.985
Required records and reports.
(1)
Record keeping. A licensee shall keep books, accounts, and other records in such a form and manner as required by rule of the division. These records shall be kept at a location and shall be preserved for a length of time as prescribed by rule of the division.
(2)
Annual report. Not more than 90 days after the close of a licensee's fiscal year or upon request of the division, every licensee shall file with the division a report containing all of the following:
(a)
Financial statements, including the balance sheet, the statement of income or loss, the statement of changes in capital accounts and the statement of changes in financial position of the licensee. The licensee shall ensure that the financial statements have been audited by an independent certified public accountant and prepared in accordance with generally accepted account principles.
(b)
Other relevant information requested by the division.
History:  1999 a. 9, 185.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.01 - Incorporators.

225.01
Incorporators.
Five or more natural persons of the age of 18 years or more may act as incorporators by signing, acknowledging and filing articles of incorporation for such corporation.
History:  1971 c. 213 s. 5; 1981 c. 337.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.02 - Purposes.

225.02
Purposes.
Corporations may be organized under this chapter to promote, assist, encourage and through the cooperative efforts of the institutions and corporations which are members thereof, develop and advance the business prosperity and economy of the state to encourage new industries and to rehabilitate existing industries in the state; to promote and stimulate the expansion of Wisconsin business ventures which tend to increase the growth and thrift of the state; to cooperate and act in conjunction with other organizations, the objects of which are the promotion of industrial, agricultural and recreational developments within the state and to lend to approved and deserving applicants money for the carrying on and development of all kinds of business undertakings in the state, thereby establishing a medium of credit not otherwise readily available therefor; and in furtherance of such purposes and in addition to the powers conferred by the general laws relating to business corporations, any such corporation shall, subject to the restrictions and limitations herein contained, have the following powers:
(1)
To borrow money on secured or unsecured notes from any bank, savings bank, savings and loan association, trust company or insurer which is a nonstockholder member of the corporation and from other nonmember persons, firms or corporations; and to pledge bonds, notes and other securities as collateral therefor.
(2)
To make secured or unsecured loans; but it is not the intention hereof to take from the lending institutions within the state any loans or commitments desired by such institutions generally in the ordinary course of their business.
(3)
To establish and regulate the terms and conditions of any such loans and the charges for interest or service connected therewith.
(4)
To purchase, hold, lease and otherwise acquire and to convey such real and personal estate as it may acquire in the satisfaction of debts, or pursuant to the terms and conditions of loans, or which it acquires in the foreclosure of mortgages thereon, or upon judgments for debt or in settlements to secure debts.
(5)
To promote the establishment of local industrial development corporations in the various communities of the state, to enter into agreements with them, and to cooperate with, assist and otherwise encourage such local foundations.
(6)
To participate with any duly authorized federal lending agency in the making of loans.
History:  1979 c. 102 s. 236 (3); 1991 a. 221.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.03 - Capital stock.

225.03
Capital stock.
At least 25 percent of the capital stock authorized in the articles of incorporation shall be paid into the treasury of the corporation in cash before the corporation shall be authorized to transact any business other than such as relates to its organization. At least a majority of the common stock shall at all times be held by residents of this state or by persons, firms or corporations engaged in doing business therein. Common stock shall at all times be held by stockholder members who have their residences or principal places of business in not less than 36 counties in this state.
History:  2009 a. 177.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.04 - Directors.

225.04
Directors.
The corporate powers of any such corporation shall be exercised by a board of directors. The number of directors and their term of office shall be determined in a manner prescribed in the bylaws. At no time shall there be less than 5 directors. The initial board of directors shall consist of the incorporators and they shall serve until the first annual meeting. The first annual meeting shall occur at a date to be fixed by the board of directors as soon as reasonably possible after a minimum of 25 percent of the capital stock of the corporation is paid into its treasury and a minimum of 10 stockholder members of the corporation have qualified as provided in s. 225.05; and such annual meeting and subsequent annual meetings shall be called and the directors shall be elected in the manner provided in the bylaws.
History:  2009 a. 177.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.05 - Members; limitation and apportionment of loans by members; withdrawal.

225.05
Members; limitation and apportionment of loans by members; withdrawal.
There shall be 2 classes of members in the corporation with voting rights specified in the articles of incorporation.
(1)
Stockholder members include individuals, corporations and organizations who qualify by the purchase of common stock.
(2)
Nonstockholder members include banks, savings banks, savings and loan associations, trust companies and insurers who qualify by making application to lend funds to the corporation upon call.
(a)
Each nonstockholder member shall establish a line of credit to the corporation as determined in the articles of incorporation.
(b)
All calls of funds which nonstockholder members are committed to lend to the corporation shall be prorated by the corporation among the nonstockholder members in the same proportion that the individual lines of credit bear to the aggregate line of credit.
(c)
Upon written notice given 60 days in advance, a nonstockholder member of the corporation may withdraw from such membership at the expiration date of such notice and after said expiration date shall cease to exercise any of the powers and privileges incidental to such membership and shall be free of any obligations in connection therewith except those obligations which have accrued or for which commitments have been made before said expiration date.
(d)
Nonstockholder members do not assume any liability for the debts of the corporation.
(e)
Nonstockholder members shall not share in any surplus of the corporation in excess of the obligations due such nonstockholder members.
(f)
Upon dissolution of a corporation organized under this chapter, obligations due the nonstockholder members are to be paid in full before any payments are made to the stockholder members.
History:  1979 c. 102 s. 236 (4); 1991 a. 221.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.06 - Finance.

225.06
Finance.
Any such corporation shall set apart as a surplus not less than 10 percent of its net earnings each year until such surplus, with any unimpaired surplus paid in, shall amount to one-half of the capital stock. The surplus shall be kept to secure against losses and contingencies, and whenever it becomes impaired it shall be reimbursed in the manner provided for its accumulation.
History:  2009 a. 177.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.07 - Loans.

225.07
Loans.
The corporation shall lend money only when credit is not elsewhere readily available. Before granting any loan, the board of directors or a committee thereof shall endeavor, so far as is reasonably possible, to ascertain that the first opportunity to grant such loan has been given to lending institutions which may desire such loans generally in the course of their business.
2023 Wisconsin Statutes & Annotations › Chapter 225 - Business development credit corporations. › 225.09 - Legal investments.

225.09
Legal investments.
Notwithstanding any other statute, the notes or other interest-bearing obligations of any corporation organized under this chapter, issued in accordance with this chapter and the articles of incorporation and bylaws of the corporation shall be legal investments for the banks, savings banks, savings and loan associations and trust companies who become members of the corporation.
History:  1979 c. 279; 1991 a. 221.
2023 Wisconsin Statutes & Annotations › Chapter 226 - Foreign corporations. › 226.01 - Definition.

226.01
Definition.
In this chapter “foreign corporation" means all corporations, associations and joint stock companies organized otherwise than under the laws of this state, except railroad corporations, associations created solely for religious or charitable purposes, insurers, motor clubs, building and loan associations and corporations not organized or conducted for profit.
History:  1979 c. 102.