Overseas deployment = reduced interest rates?

[ARCHIVED THREAD] - Overseas deployment = reduced interest rates?

Posted: 6/25/2002 5:30:36 AM EDT

I need some help from the military folks. One of the secretaries at work has a son who just got deployed to Afghanistan (82nd Airborne combat engineer - mine sweeper). She said she heard that if you get deployed overseas, you can have the interest rates on you credit card outstanding balances reduced to 5.9% during your deployment. She wants to get her son's rates reduced if possible.

I couldn't find anything like this in the United States Code, or in the Illinois Statutes. Anyone heard of this?

Thanks.

Posted: 6/25/2002 6:02:34 AM EDT

[#1]

Fact.

The problem is that the member has to call.

My reserve unit was breifed on this two months ago. For the reserve types, a copy of your orders should be enough.

I deleted the email I got from our unit admin folks.....I'll see if I kept a copy.

Not all companies participate. Several housing lenders were on the list though.

Lew

Posted: 6/25/2002 7:19:25 AM EDT

[#2]

Thanks, Tippie. Please forward me the e-mail if you can find it so I can pass the info on to the secretary.

And if anyone has any more info, please chime in.

Posted: 6/25/2002 7:26:28 AM EDT

[#3]

Look under the Soldiers and Sailors Relief Act. I only have specifics on mortgage loans not credit cards. On mortgages, the bank is forced to lower the rates paid by a deployed soldier or sailor. Each bank has it's own set of paperwork requirements that need to be fulfilled.
Best advice is to have the secretary's son, if possible, contact each of his lenders and see if they will lower the rate paid.YMMV

Posted: 6/25/2002 8:37:32 AM EDT

[#4]

Soldiers and Sailors Civil Relief Act of 1940, 50 USCA Sec. 526, provides that any indebtedness that accumulates interest is "capped" at no more than 6%. Not limited to mortgages, which are addressed in a separate section of the code.

I've passed this on to the secretary, who has power of attorney for her son and will be making some phone calls.

Thanks to Lew and Wiggy.

Posted: 6/25/2002 9:31:06 AM EDT

[#5]

The Soldier's and Sailor's Civil Relief Act only applies to debts incurred prior to active military service. It does not apply to any debts incurred while on active duty. See the link.

[url]http://www.vistafcu.org/html/sscra.html[/url]

Posted: 6/25/2002 9:59:11 AM EDT

[#6]

Question:

Any loan incurred after you report for active duty does not qualify for relief under the act

View Quote

Now does that mean any debt you incur after you are deployed..? or from the day you enter active service?
would the second option mean that if you bought a car while enlisted.. then get deployed over seas.. that the car purchase is not covered? ?

Does this just apply for "over seas" deployments..?
What about the NG folks that were called up to guard areas here in the states, and in the process left behind higher paying jobs..?

Thanks...

Posted: 6/25/2002 10:41:34 AM EDT

[#7]

It means any time you are on active duty. Where you are located has no bearing. Reservists and National Guard personnel are covered for debts they had prior to being called up for active duty.

[ARCHIVED THREAD] - Overseas deployment = reduced interest rates?

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