Military Lending Act regulation
32 CFR 232.6: MLA Loan Disclosures, Written and Oral
Official heading: § 232.6 Mandatory loan disclosures.
In one line
Requires a statement of the Military Annual Percentage Rate, the Truth in Lending disclosures and a clear description of the payment obligation, before or when the covered borrower signs, in writing and orally.
- Delivered before or when you become obligated or open the account
- The MAPR statement may describe the charges rather than state a number
- Oral disclosure may be in person or by a toll-free number printed on the application or the written disclosure
Text checked October 10, 2026
What 32 CFR 232.6 does to your money
If a lender never told you about the MLA, start here. Before or at the time you become obligated on the loan or open the account, a creditor must give you three things: a statement of the MAPR, any disclosure Regulation Z requires, and a clear description of your payment obligation. The MAPR statement and the payment description must be in writing in a form you can keep, and also given orally.
The rule lets creditors meet these duties cheaply. The MAPR statement need not be a number: the model language in paragraph (c)(3), which says the cost of credit to a member or dependent generally may not exceed 36 percent and lists what that rate includes, is enough. The oral part can be a toll-free number printed on the application or the written disclosure. On a loan with several creditors only one must deliver it, and a refinance needs new disclosures only when Regulation Z treats it as a new transaction.
Missing disclosures matter because a contract that does not comply with the Act as implemented by the rule is void from inception under § 232.9(c). Keep the paperwork you were given, note whether a toll-free disclosure number appeared on it, and take both to a legal assistance office if the loan came with add-on products.
Guides on this site that apply 32 CFR 232.6
- MLA MAPR Explained: The 36% Rate That Counts the Fees
The MLA cap is a Military APR, not a normal APR. It folds in fees, credit insurance, and add-ons. See a loan under 36% APR that is over 36% MAPR.
- MLA Protections Beyond the 36% Cap: The Banned Terms
The MLA also bans mandatory arbitration, waivers of your SCRA rights, prepayment penalties, and required allotments, and mandates written and oral disclosures.
- Pioneer Military Loans: $500 to $10,000 via Lead Bank, No APR Posted
Pioneer Services is now Pioneer Military Credit: Lead Bank loans of $500 to $10,000 over 6 to 36 months. No rate is posted, so 36% MAPR is your ceiling.
The full text of 32 CFR 232.6
From the eCFR, current through October 7, 2026; this section was last amended December 5, 2016 (official source, retrieved October 10, 2026). House style: em dashes in the official text are shown as colons or periods; no word is changed.
(a) Required information. With respect to any extension of consumer credit (including any consumer credit originated or extended through the internet) to a covered borrower, a creditor shall provide to the covered borrower the following information before or at the time the borrower becomes obligated on the transaction or establishes an account for the consumer credit:
(1) A statement of the MAPR applicable to the extension of consumer credit;
(2) Any disclosure required by Regulation Z, which shall be provided only in accordance with the requirements of Regulation Z that apply to that disclosure; and
(3) A clear description of the payment obligation of the covered borrower, as applicable. A payment schedule (in the case of closed-end credit) or account-opening disclosure (in the case of open-end credit) provided pursuant to paragraph (a)(2) of this section satisfies this requirement.
(b) One-time delivery; multiple creditors. (1) The information described in paragraphs (a)(1) and (a)(3) of this section are not required to be provided to a covered borrower more than once for the transaction or the account established for consumer credit with respect to that borrower.
(2) Multiple creditors. If a transaction involves more than one creditor, then only one of those creditors must provide the disclosures in accordance with this section. The creditors may agree among themselves which creditor may provide the information described in paragraphs (a)(1) and (a)(3) of this section.
(c) Statement of the MAPR: (1) In general. A creditor may satisfy the requirement of paragraph (a)(1) of this section by describing the charges the creditor may impose, in accordance with this part and subject to the terms and conditions of the agreement, relating to the consumer credit to calculate the MAPR. Paragraph (a)(1) of this section shall not be construed as requiring a creditor to describe the MAPR as a numerical value or to describe the total dollar amount of all charges in the MAPR that apply to the extension of consumer credit.
(2) Method of providing a statement regarding the MAPR. A creditor may include a statement of the MAPR applicable to the consumer credit in the agreement with the covered borrower involving the consumer credit transaction. Paragraph (a)(1) of this section shall not be construed as requiring a creditor to include a statement of the MAPR applicable to an extension of consumer credit in any advertisement relating to the credit.
(3) Model statement. A statement substantially similar to the following statement may be used for the purpose of paragraph (a)(1) of this section: “Federal law provides important protections to members of the Armed Forces and their dependents relating to extensions of consumer credit. In general, the cost of consumer credit to a member of the Armed Forces and his or her dependent may not exceed an annual percentage rate of 36 percent. This rate must include, as applicable to the credit transaction or account: The costs associated with credit insurance premiums; fees for ancillary products sold in connection with the credit transaction; any application fee charged (other than certain application fees for specified credit transactions or accounts); and any participation fee charged (other than certain participation fees for a credit card account).”
(d) Methods of delivery: (1) Written disclosures. The creditor shall provide the information required by paragraphs (a)(1) and (3) of this section in writing in a form the covered borrower can keep.
(2) Oral disclosures. (i) In general. The creditor also shall orally provide the information required by paragraphs (a)(1) and (3) of this section.
(ii) Methods to provide oral disclosures. A creditor may satisfy the requirement in paragraph (d)(2)(i) of this section if the creditor provides:
(A) The information to the covered borrower in person; or
(B) A toll-free telephone number in order to deliver the oral disclosures to a covered borrower when the covered borrower contacts the creditor for this purpose.
(iii) Toll-free telephone number on application or disclosure. If applicable, the toll-free telephone number must be included on:
(A) A form the creditor directs the consumer to use to apply for the transaction or account involving consumer credit; or
(B) A written disclosure the creditor provides to the covered borrower, pursuant to paragraph (d)(1) of this section.
(e) When disclosures are required for refinancing or renewal of covered loan. The refinancing or renewal of consumer credit requires new disclosures under this section only when the transaction for that credit would be considered a new transaction that requires disclosures under Regulation Z.
Every MLA guide on this site is on the Military Lending Act hub; the SCRA, which covers debt from before active duty, is on its own section-by-section index.
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.