DoD

September 6, 2013

Benefits of SCRA and MILITARY STAR Card don’t always intersect

DALLAS – The Servicemembers Civil Relief Act (SCRA), introduced in 1940 as the Soldiers and Sailors Civil Relief Act, was established to protect active duty service members from what might happen to their financial or legal obligations after they start military service.

Decades later, the Military Star Card was established in response to military leadership’s concerns regarding a growing number of rent-to-own, pay-advancement schemes and unacceptably high interest rate scams that military personnel were encountering.

Today, the Military Star Card and SCRA both serve to protect our military, but it can be confusing to find where one ends and the other begins.

While interest rates offered by the Military Star TM Card are very competitive with industry leaders, the card is usually subject to the interest rate agreed upon at the beginning of the contract, not the special interest rates that apply to debt incurred prior to military service under the SCRA.

“The SCRA is a great way to ease the transition to active duty life and reduce service members’ existing financial burden,” said the Exchange’s Senior Enlisted Advisor Chief Master Sgt. Chief Tony Pearson. “However, the special interest rates guaranteed by the SCRA apply only to debt incurred before the start of military service, not to purchases made while on active duty.”

The SCRA benefits Military Star Card holders under certain circumstances: Since many reservists are not considered active duty but are entitled to Exchange privileges, reservists with Military Star TM Card accounts can see interest on existing Military Star Card balances reduced to 6 percent under the SCRA when activated.




All of this week's top headlines to your email every Friday.


 
 

 
(U.S. Air Force Illustration by Airman 1st Class Cheyenne Morigeau)

Don’t become a target

Considering recent threats against Americans and the exponential growth of social media use, becoming a target of an adversary is easier than ever. Operations Security is a process that identifies unclassified, critical informa...
 
 
BreastCancerAwareness_pict

An Airman’s story: My mother didn’t fight alone

MOODY AIR FORCE BASE, Ga. – His green eyes frantically searched the crowd for his dying mother. During his final pass and review at basic military training (BMT) he saw her in the stands, cheering him on. A year later, ...
 
 

Fire Prevention Week 2014

(U.S. Air Force photo by Airman 1st Class Chris Drzazgowski) Sparky the Fire Dog, National Fire Protection Association spokesdog, and members from the 355th Fire Emergency Services flight taught children from the Child Development Center how to stop, drop and roll at Davis-Monthan, Oct. 8. The 355th FES conducted several events in conjunction with Fire...
 

 

Troops to Teachers helps Airmen serve after separation

NELLIS AIR FORCE BASE, Nev. – For many service members who are separating from the military, finding employment that utilizes prior training or skills gained while serving can be difficult. For Airmen who are honorably discharged from their military commitment and have an interest in ‘serving’ again as an educational instructor, the Troops to Teachers program is...
 
 

Military Tuition Assistance Program implements changes for FY15

HOLLOMAN AIR FORCE BASE, N.M. – Air Force active duty Airmen who want to take advantage of the military assistance programs for voluntary education in the coming academic year can expect several changes that were implemented on Oct. 1, 2014. The new Air Force Credentialing Opportunities Online, also referred to as AF COOL, will take the place...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>


Directory powered by Business Directory Plugin