Latest news with #ServicemembersCivilReliefAct
CNBC
27-05-2025
- Business
- CNBC
3 popular credit card benefits for active military personnel
If you're an active service member, you're entitled to some financial protections. This is thanks to the Servicemembers Civil Relief Act (SCRA) and the Military Lending Act (MLA), both of which address the consumer debt that military members and their families may carry. These laws provide financial safeguarding like interest rate caps, protections against mortgage foreclosures and from eviction, ability to terminate leases, no loan prepayment penalties and credit card relief. Below, CNBC Select dives deeper into active-duty military members' financial protections when it comes to their credit cards. One of the most valuable benefits is the cap on interest rates for many different types of loans, including credit cards. The interest rate on debt covered by the SCRA is capped at 6%, while the rate on interest and fees under the MLA is capped at 36% in order to protect service members from predatory lending practices. Some issuers openly offer waived fees on credit card accounts for active military personnel, and others may still offer them, you just have to ask. Being able to waive an annual fee of potentially hundreds of dollars, or even avoiding a late payment charge, can add up both in the moment and over time. All the available card benefits stay the same, so you can get premium credit card perks for no annual fees. Often, the perks that the active service member receives will also be available to their spouse. Sometimes this will be due to the letter of the law, other times as a courtesy extended by a financial institution. Many banks will have special phone lines or email addresses for questions military members might have about benefits so reach out and ask. Some issuers offer additional benefits that go above and beyond those required by law. With Capital One, customers eligible for the SCRA will receive an interest rate cap of 4% and no annual fees or other fees on their Capital One credit card accounts. These benefits apply to the spouses/dependents of eligible service members and that coverage extends for one year after the end of their active-duty service. Chase offers SCRA benefits, including waived fees on all Chase credit cards and 4% APR on eligible balances during active duty and one year afterward. Other issuers have indicated that they provide relief that meets or exceeds the requirements. Since each issuer may handle military benefits differently, it's always best to reach out directly with any questions or if you're looking for specific details. If you're eligible for any of these active military benefits, it's worth reaching out to your bank to see how you could save. Taking advantage of the interest rate cap you have on credit card debt can save you a large amount of money, especially if you qualify for the 6% interest rate cap. If you're paying $250 a month on $5,000 in credit card debt with 25% interest, it will still take you over two years and more than $1,500 in interest payments to pay it off. With a 6% interest rate cap, those same $250 monthly payments eliminate your debt in under two years with just under $300 worth of interest payments, saving you over $1,200. Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent Debt Relief has resolved over $19 billion in outstanding debts since 2002. It offers free credit card debt relief in 2011, Accredited Debt Relief has helped clients resolve over $1 billion in debt. With many credit card issuers waiving fees for active military service members, this can lead to some pretty great value from the higher-tier cards. With Chase waiving their fees on all its cards, you could get the Chase Sapphire Reserve® (see rates and fees) without its typical $550 annual fee, giving you access to a $300 annual travel credit, entry into over 1,300 airport lounges and more. On Chase's site On Chase's site Points are worth 50% more when you redeem them for travel booked through Chase Travel℠. Excellent740–850 20.24% - 28.74% variable $550 Earn 60,000 bonus points See rates and fees. Terms apply. Member FDIC. Read our Chase Sapphire Reserve® review. The Chase Sapphire Reserve® is a standout premium credit card with plenty of luxury perks and statement credits to justify its annual fee. Either $5 or 5% of the amount of each balance transfer, whichever is greater Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability.$0With over 4,700 branches, Chase has the largest branch network in the U.S. plus access to more than 15,000 ATMs. JPMorgan Chase Bank, N.A. Member FDIC Terms apply.$0Bank from anywhere with access to more than 15,000 Chase ATMs, more than 4,700 Chase branches, the Chase Mobile® app and JPMorgan Chase Bank, N.A. Member FDIC Terms apply. One aspect of some of these military benefits that can get overlooked is whether they apply to spouses or dependents, as this can be a nice addition. With Capital One extending its credit card benefits to the spouses and dependents of service members, they could also qualify for a premium travel card like the Capital One Venture X Rewards Credit Card without paying the $395 annual fee. The card offers a $120 statement credit for either Global Entry or TSA PreCheck® and a 10,000-mile bonus on each account anniversary. You can add up to four authorized users to your account no fee and they can each receive their own Priority Pass airport lounge membership (enrollment required). Excellent740–850 19.99% - 29.24% variable APR $395 Earn 75,000 bonus miles Terms apply. Read our Capital One Venture X Rewards Credit Card review. The Capital One Venture X Rewards Credit Card is a premium credit card with a myriad of benefits and a lower annual fee than other high-end cards with similar features.$0 at the Transfer APR, 4% of the amount of each transferred balance that posts to your account at a promotional APR that Capital One may offer to you $0 In addition to the perks required by law, some issuers will also provide additional benefits to active military members such as waived fees or reduced interest periods. Chase and Capital One are two banks that waive certain credit card fees for active military members. Money matters — so make the most of it. Get expert tips, strategies, news and everything else you need to maximize your money, right to your inbox. Sign up here. At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every credit card article is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of credit card products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.
Yahoo
28-04-2025
- Automotive
- Yahoo
Sailor wins $7,500 settlement after his car was towed and auctioned off while deployed
A sailor will get $7,500 after his 2011 Mazda was towed and auctioned off in 2022 while he was overseas. The Department of Justice announced that Navy Lt. Jonathan Liongson would receive the money as part of a settlement with Tony's Auto Center, based in Chula Vista, California over violations of the Servicemembers Civil Relief Act, or SCRA. Liongson was stationed at Naval Base San Diego when he parked his 2011 Mazda 6 at a friend's house before heading off on a deployment with the USS Bunker Hill in November 2022. While he was abroad, Tony's Auto Center towed the car, and sold it at an auction two months later. According to the federal complaint, on Dec. 6, 2022, the Chula Vista Police Department impounded Liongson's car because of an expired registration and had Tony's Auto tow it to their facility. Tony's Auto obtained Liongson's registration and information about his loan through the Navy Federal Credit Union. Nearly a week later, Tony's Auto had a contractor mail Liongson notice of their intent to sell his car but he did not receive it because he was aboard the USS Bunker Hill and lived at an address different from the car's registration. In February, the contractor sold the car at auction for around $1,200. Liongson returned home in March, to find that his car was towed and sold. 'While Lieutenant Liongson was at sea, he understood that his ship's mission and the duration of their deployment could change at any moment,' U.S. attorney Adam Gordon for the Southern District of California said in a DOJ release. 'He accepted that reality in the fulfillment of his solemn oath. In turn, the SCRA provides grace and understanding about certain personal affairs.' The Servicemembers Civil Relief Act gives troops serving on active duty orders protections under legal and financial agreements like rental leases, security deposits, eviction, credit card interest rates, vehicle leases and mortgage foreclosures. DOJ officials argued that the business violated the law because they sold the sailor's car without obtaining a court order which was required under the SCRA. In their federal complaint, the DOJ argued that the lienholders failed to consult a free Department of Defense database to check for SCRA-protected servicemembers nor did Tony's Auto policies and practices include using commercial databases to match vehicle and customer information before selling them without court orders. Under the settlement, the federal government will receive a $2,000 civil penalty and Tony's Auto Center will have to ensure that its third-party contractors receive proper SCRA training, according to court documents. 'Members of our armed forces should not have to worry about their cars being auctioned off while they are deployed,' assistant attorney general Harmeet Dhillon said in the DOJ release. 'This settlement should send a strong message to other towing companies that they should not take advantage of our servicemembers while they are keeping Americans safe.' Since 2011, more than 147,000 service members have received over $481 million in financial settlements through SCRA enforcement, according to the DOJ. The USS Bunker Hill was a Ticonderoga-class guided-missile cruiser that was part of the Nimitz Carrier Strike Group which deployed to the Pacific region in November 2022. In September 2023, the USS Bunker Hill was decommissioned. Marine in top enlisted spot leaving the Pentagon after just 2 years Army sergeant found guilty in spree of barracks break-ins and attempted murder End of the 'yeet': the standing power throw is out as new Army fitness test goes 'sex-neutral' for combat jobs Good luck figuring out the Air Force's algorithm for shaving waivers Army cuts athletic trainers from fitness teams, with medics to take up slack
Yahoo
24-04-2025
- Automotive
- Yahoo
Towing company settles allegations it auctioned Navy lieutenant's car during deployment
CHULA VISTA, Calif. (FOX 5/KUSI) — A South Bay towing company has agreed to settle allegations that it auctioned a car owned by a U.S. Navy lieutenant while he was deployed at sea. Before leaving for deployment in November 2022, U.S. Navy Lt. Jonathan Liongson placed personal items in his 2011 Mazda 6 and parked the car at a friend's house. The Chula Vista Police Department impounded the car because its registration was expired, according to the complaint. The car was then towed to Tony's Auto Center in Chula Vista. Navy SEAL Museum slated to open in San Diego this fall Two months later, the auto center sold Liongson's car at an auction through its agent without the authorization of a court order as required by the Servicemembers Civil Relief Act (SCRA). Liongson was deployed at sea aboard the USS Bunker Hill during this time. In March 2023, Liongson returned home and learned that his car had been towed and sold. Tony's Auto Center agreed to settle the allegations. Under the settlement agreement, the company is ordered to implement new policies to prevent future violations of the SCRA, the U.S. Attorney's Office stated. Meanwhile, Liongson will receive $7,500 in damages and the United States will also receive a $2,000 civil penalty. The SCRA is a federal law that protects military members and their families while they are actively serving. 'Members of our armed forces should not have to worry about their cars being auctioned off while they are deployed on missions defending our freedoms, liberties and rights,' said Assistant Attorney General Harmeet K. Dhillon. 'This settlement should send a strong message to other towing companies that they should not take advantage of our servicemembers while they are keeping Americans safe.' The Justice Department has obtained more then $481 million in monetary relief for more than 147,000 servicemembers through the SCRA since 2011, according to the attorney's office. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
25-03-2025
- Politics
- Yahoo
Lawmaker aims to protect troops from squatters
Service members shouldn't have to deal with squatters who illegally take over their homes during their absence, said a lawmaker who has proposed legislation to make it easier for troops to remove the intruders. The measure would amend the Servicemembers Civil Relief Act to protect troops from state laws that give rights to squatters who take over their homes. 'I can't think of many things worse than finally coming home after a tour of duty, only to find a trespasser camped out,' said Rep. Brian Mast, R-Fla., in an announcement of the legislation introduced Tuesday. 'There's plenty to worry about when you get home. Evicting someone shouldn't be on the list. 'My bill defends service members, puts their interest first and stops government protection for squatters invading their homes,' added Mast, an Army veteran. According to Mast's proposed bill, any state law that gives rights to squatters would not apply to premises owned by service members and occupied by squatters during the homeowners' periods of military service. There have been reports around the country of service members returning to their homes after deployments or other absences to find squatters had taken over. States have varying laws that allow trespassers to claim ownership of a property if it is open and unoccupied and their stay is continuous, according to Mast. Often, law enforcement can't help the owners, and evicting the trespassers requires extensive and expensive legal intervention. According to reports from various news outlets around the country, some service members were forced to pay thousands of dollars to get their properties back, all while continuing to pay their mortgages. The prevalence of squatting is unclear. Some states have started trying to address the problem for all homeowners, including Georgia, where 'anti-squatters' legislation has been moving through their Senate. The measure aims to establish a process for law enforcement officers to remove squatters, according to WABE.
Yahoo
25-02-2025
- Business
- Yahoo
Does federal law protect servicemembers from delinquent rent?
Question: In a recent column, you said that a servicemember being transferred to a base in California would be required under Arizona law to pay two weeks' delinquent rent on their west Phoenix home. My understanding is that under federal law, all military personnel have protection from payment of delinquent rent. For example, if a servicemember gets called up now to immediately go to the Mexico border to assist with immigration-related efforts, the servicemember should not have to worry about paying delinquent rent. According to your resume, you were a Marine Corps JAG, so you must be familiar with this federal law. Answer: Although I was Marine Corps JAG, I was with the First Marine Division at Camp Pendleton. Our JAG team only did court martials. The JAG officers at Base Legal assisted Marines with civil issues such as evictions and delinquent child support. In any event, the federal law you reference is the Servicemembers Civil Relief Act ('SCRA'). The SCRA generally applies only to early termination of the lease because a servicemember is being transferred and limits the liability of the tenant to no more than 60 days of the remaining rent owed under the lease. The SCRA, however, probably doesn't apply to protect a 'holdover' tenant who occupied the west Phoenix home but didn't pay rent for two weeks. Contact real estate attorney Christopher A. Combs at chris@ This article originally appeared on Arizona Republic: Does federal law protect servicemembers from delinquent rent?
