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SCRASAVER

The 6% Interest Rate Cap

Cut every pre-service debt (credit cards, auto loans, mortgages, student loans) to 6% APR and claim refunds.

How the 6% cap actually works
Timeline of the SCRA 6% interest rate cap You sign the loan Pre-service debt (e.g. 9.5% APR) 1 Active duty begins Your orders start the clock 2 You send notice + orders Up to 180 days after service ends 3 Rate capped at 6% Back to day one of active duty 4 THE KEY POINT Interest above 6% is forgiven Forgiven, not deferred 5 Cap ends at release Mortgages: it lasts one year longer 6

50 U.S.C. § 3937 · the SCRA interest rate cap. Send written notice plus a copy of your orders; the excess interest is forgiven, not deferred.

Anatomy of the rate-cap letter
The six required parts of the SCRA 6% rate-cap letter The rate-cap letter, part by part. Everypiece mirrors 50 U.S.C. § 3937. 1 Name the account RE: SCRA 6% rate benefit,account ending #### The lender and the last four digits, inthe RE line. 2 Invoke the statute Under the SCRA, 50 U.S.C. § 3937, I amentitled to no more than 6% on this debt,incurred before military service. You are on active duty; § 3937 caps thispre-service debt at 6%. 3 Enclose proof This is my written notice. A copy of mymilitary orders is enclosed. A copy of your orders (a commandingofficer's letter works) plus a DMDCstatus certificate. 4 Spell out the fix As required, please:1. Cap at 6%, back to day one;2. Forgive the excess, do not defer it;3. Reduce my periodic payment. 6% retroactive to day one, the excessforgiven not deferred, and the paymentreduced. 5 No retaliation The SCRA bars any adverse actionfor invoking these rights. They cannot accelerate the loan orreport you negatively for asking. 6 List the enclosures Enclosures: copy of orders; DMDCcertificate (scra.dmdc.osd.mil). The paperwork the statute expects, atthe foot of the letter. Send it any time during service and upto 180 days after you separate.

Generate this letter, prefilled and statute-cited, with the SCRA letter generator. The excess above 6% is forgiven, not deferred, and the cap reaches back to your first day of active duty.

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