SCRA
Servicemembers Civil Relief Act
Federal law providing financial and legal protections to active duty service members so you can focus on your mission, not your bills.
Key Protections
6% Interest Rate Cap
Any pre-service debt (credit cards, car loans, mortgages, student loans) can be capped at 6% interest while on active duty. You must submit a written request with a copy of your orders. The excess interest must be forgiven — not deferred.
Lease Termination
Terminate a residential lease without penalty by providing written notice + orders. Effective 30 days after the next rent due date. Covers leases signed before or during service if you receive PCS or deployment orders.
Foreclosure Protection
A court must pause or review foreclosure proceedings against an active duty member. Lenders must obtain a court order and cannot foreclose during active duty + 1 year after.
Eviction Protection
Landlords must obtain a court order to evict a service member or their family. The monthly rent threshold (2024) is $4,585.97 — properties above this may not qualify.
Auto Lease Termination
You can terminate an auto lease if deployed 180+ days outside the continental US. Written notice and a copy of orders required.
How to Use Your SCRA Rights
- 1Get a copy of your orders — you'll need them for every request.
- 2Submit a written request to each lender, creditor, or landlord.
- 3Verify your active duty status at scra.dmdc.osd.mil (official DoD site).
- 4Keep copies of all correspondence and receipts.
⚠️ Common Mistakes
- ✗Not requesting the 6% rate cap — it's NOT automatic. You must ask.
- ✗Assuming it covers post-service debts — only pre-service debts qualify.
- ✗Not notifying landlords in writing with the required notice period.
- ✗Missing deadlines — some protections require timely requests.
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