SCRA Military Interest Rates

If you bravely decide to serve our country, the Servicemembers Civil Relief Act (SCRA) is proud to offer legal and financial protection. This law protects and prevents legal or financial transactions that could negatively affect your rights during your military or uniform service.

What qualifies you for SCRA interest rates? How long does SCRA benefits last? We’re answering these top questions below, and feel free to contact our dealership near Waianae for additional information.

What Are the Interest Rates for Active Duty Military?

If you’re a younger driver or first-time buyer, you can’t help but wonder if SCRA can lower your interest rate when buying a new vehicle near Ewa Beach. Yes, it can! Get lower interest rates on any pre-service loans to six percent on auto, home, or student loans opened before becoming a service member. For younger active members, having lower student loan rates can be life-changing.

What Are the SCRA Qualifications?

So, who qualifies for SCRA interest rate relief?

• Active Duty: Army, Marine Corps, Navy, Air Force, and Coast Guard
• Members of the Reserve component while on active duty
• Members of the National Guard component mobilized under federal orders for more than 30 consecutive days
• Active duty commissioned officers of the Public Health Service or the National Oceanic and Atmospheric Administration.

Are you interested in taking advantage of this life-altering benefit? Contact your lender in writing and make sure that you include a copy of your active duty orders or a letter from your commanding officer that confirms your active duty start date.

What Doesn’t SCRA Cover?

SCRA doesn’t cover any loans you take out while in service, as the program is for loans taken out before active service.

SCRA Benefits: How Long Do They Last?

The rate reduction for your pre-service obligations gets applied during your active duty service for most mortgages and loans for up to a year after your military service ends. After you’ve made the correct request, your lender must lower your interest rates to six percent for the entire length of your service. Reduction requests can get made while on active duty and up to 180 days after release. Please note that your lender can’t add the amount of interest above six percent back into the loan when you leave active duty.

Learn More About SCRA Today!

If you want more details or have questions about the SCRA military rates, give us a call today! We’re proud to help our Waipahu-area neighbors and those who bravely fight for our country to buy their next vehicle. We’re happy you made us your trusted Honolulu Cadillac, GMC dealer for all of your financing and leasing needs. Let us help you find your new or pre-owned vehicle today!