Understanding The Service Members Civil relief Act (SCRA)
The Service members Civil relief Act (SCRA) a credit law that was passed to allow military members to postpone some of their civil obligations so that they can devote their full attention to military services. Those covered under the SCRA include military members, reservists and National Guardsmen who are in active service of the U.S. Government. In many cases, some of the dependents of active servicemen are entitled to SCRA benefits as well.
In general, the SCRA aims to protect service members and their families from financial and credit-related issues that may surface as a result of prolonged active duty, such as military deployment. It is one good way that the government can assist those who so willingly assist the country.
What kind of relief can the SCRA provide military members?
The SCRA provides many forms of relief to military members and their families. Some of the major benefits of the SCRA include, but are not limited to:
- A 6% cap on interest rates
- Postponement of legal and financial responsibilities
- Protection from eviction
- Termination of residential and auto leases
- Deferred or postponed mortgage payments
Clearly, the SCRA can be a great help to military members and their families during active duty, and it does, in fact, provide many more benefits than listed here. If you want to learn more about the SCRA and how it helps military members and their families, you can view the full SCRA text or contact a certified credit repair specialist at My Credit Group.
