The 6% Interest Rate Cap
Capital One Military Benefits: 4% SCRA Cap (+ Discover)
Part of: The Complete Guide to the SCRA
What Capital One owes you
The cap is retroactive to your first day of active duty, and the excess interest is forgiven rather than deferred. Put your numbers in to see the size of your claim, then generate the letter that asks for it.
Simple-interest estimate on a fixed balance, capped at 4%: Capital One's own published cap of 4%, below the 6% the statute requires. A revolving balance that moved over the period will differ. It sizes the claim; it is not an amortization schedule and not legal advice.
Open the full calculator with these numbers | Generate the letter to Capital One
Write the letter to Capital One
Written notice is what starts the clock. Fill these in and the letter below is yours to copy, print, and send with a copy of your orders.
Where to send it: The Request SCRA Benefits option on capitalone.com/military (covers Discover accounts too)
One line to add: this letter demands the 6% the statute guarantees, which is what Capital One can be held to. Capital One also publishes a 4% rate, so ask in the same letter that its published 4% be applied, and have it confirm the rate it used.
Nothing you type here leaves your browser. The letter is built on this device.
Capital One runs a military rate cap below the statutory ceiling and waives nearly every fee on eligible accounts. After it acquired Discover, that one program got bigger: Capital One’s own military page states “no more than 4% interest on Capital One and Discover credit cards, personal loans, auto loans, and more” (verified July 2026). If you hold either brand, you file once and the same terms reach both.
There is one line worth reading closely. The 4% applies to accounts Capital One owns and services. An account it does not both own and service falls back to the statutory 6%. Four percent instead of 6% on a $10,000 balance is an extra $200 a year, and Capital One layers fee elimination on top of it.
What you get
| Feature | Statutory SCRA | Capital One program |
|---|---|---|
| Rate cap on pre-service debt | 6% APR | 4% APR on accounts it owns and services |
| Brands covered | Any creditor | Capital One and Discover |
| Fees | Not addressed by statute | None except bona-fide insurance |
| Retroactive to duty start | Yes, required by law | Yes |
| Excess interest | Forgiven, payment reduced | Forgiven, payment reduced |
The cap, retroactivity, and forgiveness come from § 3937 and apply at every lender. The 4% and the fee waivers are Capital One policy, and payments are still required on enrolled accounts.
How to apply
File your SCRA request with Capital One or Discover
- Gather orders covering your active-duty period and list your Capital One and Discover accounts.
- Call Capital One 24/7 military support at 1-855-227-1645, or use Request SCRA Benefits on its military page. For Discover accounts you can also call 1-844-337-4645.
- Submit orders, or a § 3937 letter from the letter generator as your written notice.
- Confirm the reduced rate, the zeroed fees, and the retroactive adjustment to your duty start date on the next statements.
- Keep the confirmation and update Capital One if your orders extend.
The fine print behind the 4%
One filing covers both brands, but check each account’s open date. Capital One and Discover run the same program now, yet eligibility is still per account. A Discover or Capital One card opened during service is a MLA matter, not the SCRA cap.
The 4% turns on Capital One owning and servicing the account. If it only services a loan for another investor, that account falls back to the statutory 6%. Ask which bucket yours is in and get the answer in writing. And bona-fide insurance is the one fee that stays; everything else should zero out on eligible accounts.
The 4% is Capital One’s number, not the law’s. It can move; your 6% floor with full retroactivity cannot. Size the gap in the savings calculator, and the refund guide covers interest you already overpaid.
Capital One has been here before: its 2012 SCRA settlement with the Justice Department, about $12 million, required it to treat a 6% request on one account as a request on every account it or its affiliates held. If one of your accounts still shows the old rate, cite that history in your follow-up. Compare Capital One against the rest on the bank leaderboard, and see the dedicated Discover guide for what the acquisition changed.
The law behind this: 50 U.S.C. § 3937
Maximum rate of interest on debts incurred before military service: read the statute , or read § 3937 in plain English, with its enforcement record .
Capital One 360 Checking: the account facts, from its own pages
Rank 3 of 22 on the Military Bank Scorecard, 80 of 100 (fees 25/25, ATM 4/15, early pay 6/15, SCRA 20/20, overdraft 10/10, complaints 15/15).
- Monthly fee: $0
- "The 360 Checking account has no monthly cycle service charge and no minimum balance required to open or maintain the account." (source, Oct 28, 2026)
- Military waiver
- "There are no fees to open, keep or use your Capital One 360 no-fee checking account, or for foreign transactions. There may be some things you want or need to do with your account that will result in ..." (source, Oct 28, 2026)
- ATM rebate
- "not stated on https://www.capitalone.com/bank/checking-accounts/online-checking-account/ ; the page says only 'the out of network ATM owner may' charge, with no reimbursement policy" (source, Oct 28, 2026)
- Overdraft: $0
- "You have several overdraft options to choose from: Auto-Decline, Free Savings Transfer, and no-fee overdraft. Auto-Decline: We generally decline transactions that cause overdrafts on your account. Fre..." (source, Oct 28, 2026)
- Foreign transaction fee: 0%
- "There are no fees to open, keep or use your Capital One 360 no-fee checking account, or for foreign transactions." (source, Oct 28, 2026)
- Deployment
- "Deployment Checklist What is a deployment checklist The checklist is a guide that suggests actions you may want to take as you prepare for deployment. ... 24/7 Military Support 1-855-227-1645 ... plea..." (source, Oct 28, 2026)
CFPB complaint data, 2023 to 2025
What servicemembers told the CFPB about Capital One
Servicemembers, veterans and military families filed 4,581 complaints about Capital One with the Consumer Financial Protection Bureau from 2023 through 2025. That is 6% of the 71,613 complaints the company received from everyone in the same period.
- Most common products
- Credit card (1,356); Credit reporting or other personal consumer reports (1,341); Checking or savings account (596)
- Most common issues
- Incorrect information on your report (879); Improper use of your report (682); Managing an account (423)
- How it closed them
- 4% with monetary relief, 14% with non-monetary relief, 81% with an explanation only
- Timely response
- 100% answered within CFPB's timeline
How to read this: CFPB publishes complaints without verifying them, a large customer base produces more complaints, and the closing category is the one the company reported. Complaints about credit reports rarely end in a payment, so the product mix shapes the relief rate. The "Servicemember" tag covers active duty, Guard, Reserve, veterans, retirees and their spouses and dependents. See the CFPB query or compare every lender we cover, or read the full complaint profile.
Do the next thing
- Estimate the refund you are owed Months above 6% on a pre-service balance, as money.
- Generate the rate-cap letter Cites § 3937, asks for every pre-service account.
- What servicemembers report about your lender 349 companies, money-back rates, from the CFPB.
- Compare 22 banks on the scorecard Fees, early pay and SCRA rate, from their own pages.
Frequently asked questions
Does the 4% cap really cover Discover cards now?
Capital One states its military benefits apply to Capital One and Discover credit cards, personal loans, auto loans, and more. Capital One acquired Discover, so the programs are aligned. Confirm the current terms for your specific Discover account when you file.
What fees does Capital One waive?
Capital One says no fees are assessed on eligible accounts except bona-fide insurance. That covers annual fees and the usual account fees during your eligible period. Get the specifics in writing when your request is approved.
Is 4% guaranteed?
No. The law guarantees 6%, full retroactivity to your duty start date, and forgiveness of interest above 6%. The 4% rate and the fee waivers are Capital One voluntary policy and can change. File for your statutory rights first, then take the better rate on top.
How do I request benefits?
Call Capital One military support at 1-855-227-1645, available 24/7, or use the Request SCRA Benefits option on its military page. For Discover accounts you can also reach the Discover military line at 1-844-337-4645.
Tools for this topic
- SCRA refund calculator What a lender owes back for charging over 6%.
- Savings calculator What the 6% cap saves you per month and per year.
- Letter generator A rate-cap or lease letter that cites the statute.
Sources
Heads up: SCRA Saver publishes general information, not legal or financial advice. Laws change and every situation differs. Confirm details with your installation legal assistance office (free for service members) or a licensed professional.