Wis. Admin. Code Department of Financial Institutions DFI-CU 74.09 - Safety and soundness

A credit union shall manage the risks associated with debt cancellation contracts and debt suspension agreements in accordance with safety and soundness principles. A credit union shall establish and maintain effective risk management and control processes over its debt cancellation contracts and debt suspension agreements. The processes shall include appropriate recognition and financial reporting of income, expenses, assets and liabilities, and appropriate treatment of all expected and unexpected losses associated with the products. A credit union shall assess the adequacy of its internal control and risk mitigation activities in view of the nature and scope of its debt cancellation contract and debt suspension agreement programs. The director may limit, restrict, or prohibit a credit union from providing debt cancellation contracts and debt suspension agreements if examination results indicate that the credit union is conducting its business in an unauthorized or unsafe manner or is violating any of the provisions of this chapter.

Notes

Wis. Admin. Code Department of Financial Institutions DFI-CU 74.09

CR 05-046: CR Register January 2006 No. 601, eff. 2-1-06. Amended by, CR 23-071: am. Register June 2025 No. 833, eff. 6/1/2025