The Championship club announced the signing of the 25-year-old directly after the remarkable 3-3 draw against Yeovil Town on Tuesday, a game that saw five goals scored late on at the DW Stadium.
Collison – who is eligible to play in Wigan's FA Cup semi-final with Arsenal next month – has been snapped up as a replacement for the injured Chris McCann, who last week saw his campaign cut short due to a fractured knee cap.
Manager Uwe Rosler believes a player of Collison's calibre could have a big impact as Wigan – currently occupying a play-off place – battle to return to the Premier League at the first attempt.
"Jack is exactly what we needed," Rosler told the club's official website.
"He can play in a few different positions, has terrific experience of both the Premier League and the Championship and will heighten competition for places as we move into the crucial last few weeks of the season."
Wales international Collison spent a month on loan at Bournemouth earlier this season and made over 120 appearances for West Ham.
