What Is the SCRA?

The Servicemembers Civil Relief Act (SCRA) provides a wide range of protections for individuals entering military service, called to active duty, or deployed. Its purpose is to postpone or suspend certain civil obligations so servicemembers can focus on their duties and reduce stress on their families.

When Does the SCRA Protect Me?

Most SCRA protections begin on the day you receive your orders for active duty or deployment. Be prepared to present a copy of your orders to any lender, landlord, or company when requesting benefits under the Act.

How Does the SCRA Protect Me?

SCRA protections may apply to:

• Rental agreements, security deposits, and prepaid rent
• Eviction protections
• Installment contracts
• Credit card and mortgage interest rates
• Mortgage foreclosure protections
• Civil judicial proceedings
• Automobile leases
• Life and health insurance
• Income tax payments

Eligibility varies, so consult an attorney to confirm which protections apply to your situation.

How Do I Get the 6% Interest Rate?

You may qualify to have the interest rate on certain loans reduced to 6% while on active duty. You may be eligible if:

• The loan was taken out before you entered active duty.
• The current interest rate is above 6%.
• Your military service affects your ability to pay the loan at the original rate.
• You notify the lender and provide a copy of your active-duty orders.

Additional legal considerations may apply, so discuss your full financial situation with your attorney.

Source: Military.com