Popular
Search

Servicemembers Civil Relief Act

Discover the benefits of SCRA for military service members

You and your dependents may be eligible for benefits and protections under the Servicemembers Civil Relief Act (SCRA). Learn how to apply.

SCRA is a federal law designed to ease the financial burdens of military personnel and their families while deployed.

The law applies to the following consumer products: mortgage loans, personal and auto loans, credit cards, reserve lines of credit, and business credit products, provided that the credit was acquired before entering active duty.

Benefits

Benefits and protections under SCRA may include:

  • Reduced interest rate – The law limits the interest rate that can be applied to eligible loans and credit products to no more than 6%. For SCRA purposes, interest includes fees such as annual membership fees, late payment fees, and returned payment fees.
  • Foreclosure protection
  • Repossession protection
  • Early termination of vehicle lease (Auto Lease)

These benefits start on the date you begin your active duty, and generally end on the date you are discharged or released.

For your benefit, we have included a list of questions and answers to guide you through the details involved in this process.

FAQs

  • All members of the armed forces who have been or are currently on active military duty in one of the following military units:

    • Members of the U.S. Armed Forces (Army, Navy, Air Force, Marine Corps, Coast Guard) or a reserve component (Reserve, National Guard, Air National Guard) called to active duty.
    • Members of the National Guard mobilized under federal orders for more than 30 consecutive days.
    • Commissioned officers of the Public Health Service (PHS) and the National Oceanic and Atmospheric Administration (NOAA).
    • Spouses and dependents of any of the above-mentioned service members who are on active-duty.

  • At any time from the moment you are officially notified of military service and  up to 180 days after the termination of military service.

    • Basic Training Order
    • Leave and Earning Statement (LES)
    • Proof of Service Letter
    • DD Form 214
    • Active Military Service Training Order
    • Assignment / Reassignment Orders
    • Deployment Orders
    • Mobilization Orders indicating the soldier was called to duty
    • Evidence of Service Letter
    • Orders under Title 32 or 102 (applies to members of the National Guard)
    • Temporary Additional Service (TAD or TEMADD) Orders
    • Travel Orders
    • Permanent Change of Station (PCS)
    • Temporary Change of Station (TCS)

  • No, accounts eligible for SCRA are those that were opened before the active duty start date.

  • At any time during the active-duty period or up to 180 days after it ends.

  • According to SCRA, benefits apply until active duty ends. Additionally, Popular extends them for a period of 90 days after the termination date of active duty. Mortgage loans receive the benefit for 12 months after the termination date of active duty.

  • Yes, your spouse may apply for their SCRA benefits while you are on active duty. However, if you do not share a joint account and they want to get information and/or make decisions on your behalf, a power of attorney may be necessary. You can contact the Army’s Judge Advocate General (JAG) office or your personal attorney for more information.

  • SCRA benefits may be denied for one or more of the following reasons:

    • The account was opened after the date you began active duty.
    • On the date you applied for the benefit, your period of active duty had ended more than 180 days ago.
    • The account was settled before your active duty start date.

  • It is because your military status could not be validated on the Defense Manpower Database Center (DMDC) website or with the information you provided to us. To determine your eligibility, we need you to send us a copy of your military orders or a letter from your Commanding Officer, on letterhead, that includes:

    • Your name and Social Security number
    • Active Duty Start Date
    • Branch of service

  • Popular extends SCRA benefits based on the information received and/or validation done through the Defense Manpower Database Center (DMDC) website. If your period has been extended, you must provide documents confirming that you are still on active duty to assign the extension on your account. If we do not receive the information, we will use the information contained in our records.

  • When your active service ends, Popular reinstates the original account rate and may charge any fees that apply to the product (e.g. late payment fee, annual fee, others).

  • You can contact TeleBanco Popular at 787-724-3650, Monday through Friday from 8:00 a.m. to 5:00 p.m. and Saturdays from 9:00 a.m. to 6:00 p.m. One of our representatives will gladly assist you.

Additional information regarding SCRA

If you have additional questions about relief under SCRA, you can contact your commanding officer, JAG officer, or personal attorney. Banco Popular does not provide legal advice regarding SCRA.

The information provided is not intended to convey or constitute legal advice and does not replace obtaining legal advice from a qualified attorney.

Back to top