424.206 Deferral, refinancing and consolidation agreements.

193 words·~1 min read·/wi/chapter-424/424-206

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)The creditor may not receive a separate charge for insurance in connection with a deferral (s. 422.204 ), a refinancing (s. 422.205 ) or a consolidation (s. 422.206 ) unless:

(a)The customer agrees in writing at the time of deferral, refinancing or consolidation that a specific charge may be made;

(b)The customer is to be provided with insurance for an amount or a term, or insurance of a kind, in addition to that to which the customer would have been entitled had there been no deferral, refinancing or consolidation;

(c)The customer receives a refund or credit on account of any unexpired term of existing insurance in the amount that would be required if the insurance were terminated (s. 424.205 ); and

(d)The charge does not exceed the amount permitted by this chapter (s. 424.204 ).

(2)A creditor may not contract for or receive a separate charge for insurance which duplicates insurance with respect to which the creditor has previously contracted for or received a separate charge.

(3)A violation of this section is subject to the provisions of s. 425.303 .