It is common knowledge that millions of Americans have student loan debt. Over 43 million Americans have amassed more than $1.3 trillion in debt for student loans. Paying off loan debt is anything but easy. While getting an education is vital to making a living, many Americans struggle with paying off student debt. The US…
Nobody likes hearing from debt collectors. If you’re part of the military, military debt can pose risks to your status, promotions, and career. Military debt is just like any other type of debt. Primarily, it can affect the military personnel’s performance because they’d be preoccupied thinking about the money they owe. Many service members can…
There are a number of pervasive myths regarding the Servicemembers Civil Relief Act. In order to ensure compliance with this important law, it is critical that those who work with servicemembers know the ins and outs of the SCRA.
Without a doubt, the Servicemembers Civil Relief Act applies in bankruptcy cases. It provides protection to members of the military against the entry of default judgments and gives the court the ability to stay proceedings against military debtors.
The language of the SCRA states that it is applicable in any action or proceeding commenced in any court. 50 U.S.C. app. §§ 521, 522 and 524. Therefore, absent contravening language with respect to bankruptcy proceedings, the SCRA applies to all actions or proceedings before a bankruptcy court.
The SCRA can potentially lead to large fines for auto lending and leasing companies, as evidenced by this notable case.
The Servicemembers Civil Relief Act (“SCRA”) generally requires that, for a Servicemember to be protected by the provisions of the SCRA, the servicemember must affirmatively send a notice to lenders. A provision in the SCRA that shifts burden to the lender regarding notice does not exist.
The SCRA, at 50 U.S.C. App. § 533, provides certain protections in the context of residential foreclosures. One of those protections is a usually a moratorium on foreclosures if the loan predates the Active Duty Start Date. The length of this foreclosure not only includes the period of active duty, but a period after the Active Duty End Date.
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