Veterans Crisis Line: Dial 988 then Press 1 or Chat Online
Veterans Benefits

Quick Launch

Essentials Directory

Browse Topics

Claims
Filing Guide to Filing Claim Types Service Connection Exams C&P Exam DBQs Stages of a Claim Appeals Decision Letters Effective Dates Filing an Appeal Special Ratings TDIU SMC Permanent & Total
Conditions
Presumptive Overview Agent Orange Burn Pits / PACT Camp Lejeune Gulf War Mental Health Mental Health Ratings TBI Body Systems Musculoskeletal Neurological Diagnostic Codes
Benefits
Healthcare VA Health Care Community Care CHAMPVA Dental Education GI Bills VR&E (Voc Rehab) Chapter 35 Housing & Financial VA Home Loans Property Tax Exemptions VA Pension Survivors Survivor Benefits Death "To-Do" List
Resources
Getting Help What is a VSO? VSO Organizations Legal Help Records Check Claim Status DD214 Corrections Discharge Upgrades Reference Glossary VA Math Explained Introduction Start Here
About • Mission • Report Issue
© 2026 VBC
Home Resources Special Groups SCRA

Servicemembers Civil Relief Act (SCRA)

Servicemembers Civil Relief Act (SCRA)

TL;DR What You Need to Know
  • 6% interest cap - limits interest rates on pre-service debts while on active duty
  • Court protection - 90-day stay of civil proceedings available, plus protection from default judgments
  • Lease termination - can terminate leases without penalty for PCS, deployment, or separation
  • Tax deferral - state and federal income tax payments can be deferred up to 180 days after active duty

This piece of federal legislation is designed to protect Servicemembers (including those in the National Guard, Reserve, Coast Guard, and commissioned officers in the Public Health Service (PHS) and National Oceanic and Atmospheric Administration (NOAA)), from financial and legal burdens while they are serving their country. It provides a range of protections that ease obligations and allows Servicemembers to focus on their military duties without undue hardship.

Key protections under the SCRA include:

  • Interest Rate Cap: Limits interest rates on debts taken on BEFORE military service to 6% while on Active Duty.

    • In the case of mortgages, this reduction must last for a year AFTER your period of Active Duty. All other debts return to old rates after the period ends.

  • Stay of Proceedings: Servicemembers can request a 90 day delay in civil court and administrative proceedings by submitting:

    • A letter explaining how military service materially affects your ability to appear in court AND providing a future date when you could appear; and

    • A letter from your commander confirming your inability to appear at the scheduled court date.

  • Protection from Default Judgments: Cannot be entered against the Servicemember due to failure to appear or defend themself in civil court.

  • Termination of Cell Phone/Internet/TV/Gym Contracts: Contracts may be ended without penalty if given orders of Permanent Change of Station (PCS) to an area that does not have coverage or deploying for at least 90 days.

  • Termination of Leases: Servicemembers can terminate residential, car, and business leases without penalty if they enter Active Duty service or receive PCS orders to include separation/retirement.

  • Protection Against Foreclosure and Eviction (for non-payment): Prevents foreclosure or eviction without a court order, and may delay proceedings if military service affects the servicemember’s ability to respond.

  • Deferral of Income Taxes: If military service (due to reduced/low pay) makes it so you cannot afford to pay State/Federal income taxes; you can have those payments put off WITHOUT penalty or interest for up to 180 days AFTER your Active Duty ends.

This is NOT a complete list of benefits, for a complete list see the law itself in the reference section.

Enforcement

Most institutions are smart enough to provide you your rights under SCRA without much of a fight when given proper WRITTEN notice with orders/letter from your Commander. However, if you find they need help seeing the light:

In the rare event your local office cannot assist you or the matter is time sensitive:

  • Contact the US Department of Justice; Civil Rights Division.

Frequently Asked Questions

Is this similar to Soldiers’ and Sailors’ Civil Relief Act (SSCRA)?

  • It is SSCRA. SSCRA was the old name of the current act.

I have orders under Title 32 am I covered by SCRA?

  • It depends:

    • Title 32 under section 502(f): ONLY if activated for MORE than 30 consecutive days by the President or the Secretary of Defense, for purposes of responding to a national emergency declared by the President and supported by Federal funds.

    • Otherwise, your service under Title 32 is NOT covered.

Does SCRA apply to mortages with a rate over 6%?

  • Yes!

Does SCRA apply overseas?

  • Dealings involving foreign businesses, people, courts, etc. are NOT covered by SCRA.

  • US based companies have to obey SCRA when you give proper notice and have appropriate orders overseas.

  • All US territories are covered.

Does SCRA protect me against Criminal Courts?

  • No.

Woah, my deployment is for a year! Do I seriously only get a 90 day stay of proceedings?

  • The 90 days is mandatory by law. If you need more than 90 days the court does NOT have to provide an extension. You will need to request an extension similarly to how you made your original request, if not granted previously to the full expected length. However, if the court does not provide a full extension they must appoint you an attorney to represent you.

Are retirees/Veterans eligible for SCRA protections?

  • Only in so far as lingering protections from when they were on Active Duty.

Does SCRA cover spouses at all?

  • Yes, for state income tax; spouses can elect which state they pay taxes into based on 1 of the 3 options below:

    • Residence of the Servicemember,

    • Residence of the spouse, or

    • State Servicemember is stationed in.

  • Yes, for professional licenses (besides law):

    • Right to have said license considered valid at a similar scope of practice in the new state.

I am going to get/got an other than honorable discharge. Am I still protected by SCRA?

  • Yes, there are no character of service requirements for SCRA.

Related Guides

BDD Claims National Guard & Reserve USERRA

References

Trusted Community Partners

r/VeteransBenefits U.S. Veterans Network VA Claim Tracker iamnicthevet.com