Did you know many credit card companies are going above and beyond their legal obligations under the Service Members Civil Relief Act?
Many companies are retroactively lowering interest rates for balances placed AFTER your enlistment! Under the SCRA, 6 percent is the maximum interest rate that can, however, in 2016 many institutions are choosing to use even lower rates.
Considering my current circumstances, this is fantastic news.
For the two or three people who truly know me, I’m always looking for a way to save a few bucks. Since January of 2015, I’ve been a geographical bachelor living in Houston, while my family maintains a residence in San Antonio.
I reside on the North side of the city, well outside of the Beltway. I opted for comfort and security, and some would say I’m paying a premium for rent. Between my house and apartment, we currently pay close to 3k a month for the most basic living expenses. I live off of a credit card and typically pay the balance in full (or close to it) before the end of the billing cycle.
Currently, my go-to credit card is the Hilton Honors Card from American Express. I swipe this card to cover all of my day-to-day living expense while simultaneously earning rewards points.
Now the scary part.
This card comes with a hefty 15.49 annual percentage rate (APR).
Aha Moment With Spencer & Amex
Recently, I ran across a post from the Military Money Manual, which explained how American Express goes above and beyond their legal obligations under the SCRA.
Following Spencer’s guidance, I’ve submitted my request to have my account handled in accordance with the SCRA.
Armed with this new information, I conducted a brief Internet search, searching for a list of credit card companies that also provide similar support under the SCRA.
To my surprise, I failed to locate a substantial resource to share, so I decided to create one.
Not Just American Express
Many credit card companies are heeding the call and retroactively lowering interest rates, reducing the interest on balances placed AFTER enlistment, and cutting refund checks.
Now I understand that for many of us, the promise of 0% APR and having our annual fees waived may sound like an April fools post on the Duffel Blog.
But I’ve been able to locate 13 credit card companies, which have been secretly offering SCRA benefits to service members and in some cases their spouses.
List of SCRA Friendly Credit Card Companies
Here’s a List of 13 Credit Card Companies that Go Above and Beyond To Support Service Members Under the SCRA:
USAA SCRA Benefits
Benefits: USAA has three unique programs designed to put money back into service members pockets:
- SCRA: USAA provides service members a reduced interest rate of 4%, for credit card debt incurred prior to active duty. This is good for up to six months after separation
- Deployment of PCS: Active duty members can get a 4% interest rate, and some fees waived on their USAA MasterCard, Visa or American Express for current balances, new purchases, and cash advances for up to 12 months for PCS or up to 15 months for deployment.
- Campaign Medal: USAA members awarded a qualifying campaign medal can get all the interest incurred during the campaign refunded on their USAA MasterCard, USAA Visa or USAA American Express.
How to apply: Find out if you qualify online and send in the required documents. Call 210-531-USAA (8722) for more information.
American Express SCRA Benefits
Benefits: American Express is showing their support for our military by waiving all credit card annual membership, over limit, late payment, returned payment, and statement copy fees for active duty military service personnel.
The SCRA benefits are offered through various products including the Platinum card (which otherwise incurs a $450 fee), Blue Cash Preferred card (a $75 fee), Premier Rewards Gold card (a $175 fee), and others. Amex also waives late payment, over limit, returned check charges and statement copy charges.
How to apply: If your card is account is enrolled in American Express online services, you can submit your request online. You will be required to submit documentation proving your service, such as documentation prepared exclusively by a branch of the military, the Department of Defense or your commanding officer which indicates that you are on active duty (e.g., active duty orders, change of station orders, DD-214 forms, letters from commanding officers, etc.).
- Phone: Call the number on the back of your Card or 1-800-253-1720 to submit a request. If you are outside the United States, you can call us collect at 1-336-393-1111.
- Fax: Fax documents establishing your active duty to 1-623-444-3000. Please make sure to include the applicable American Express Account numbers.
- Mail: Send a copy of documents establishing your active duty to: American Express, Attn: Service members Civil Relief Act, PO Box 981535, El Paso, TX 79998-1535. Please make sure to include the applicable American Express Account numbers.
Bank of America SCRA Benefits
Benefits: Bank of America will waive all fees, lower APR to 6% all pre-service balances, during active duty and for up to 180 days after separation.
How to apply: Service members have up to 180 days from the date military service is completed to request benefits and provide documentation. To apply you’ll need one of the following:
- A copy of your enlistment orders or your military orders calling you to active duty service
- A properly completed Department of Defense Short Form (PDF requires InstallAdobe Reader)
Barclaycard SCRA Benefits
Benefits: Barclaycard will waive all fees, lower APR to 0% for all pre-service balances, and all transactions made during active service.
How to apply: Contact the SCRA assist line at 1-866-918-5212 and ask to apply for SCRA benefits.
BBCA Compass Bank SCRA Benefits
Benefits: BBVA Compass Bank offers special banking products as a way of saying thanks to military personnel. Military are eligible for interest rate reductions to 6% and waiver of all fees.
How to apply: Contact the bank at 1-800-266-7277
Open an account: To open an account visit BBVA Compass Bank
Capital One SCRA Benefits
Benefits: Under Capital One’s SCRA Program Service Members and spouses are eligible for a maximum interest rate of 4%, waiver of all fees assessed on accounts.
How to apply: The fastest way to secure benefits is by completing the online form. Eligible spouses should complete this form and fax to 1-866-516-4023.
Chase SCRA Benefits
Benefits: Since 1989, Chase has been offering convenience, savings, service and security to the US Military. Chase will waive all fees, lower APR to 4% on eligible balances and for one year after separation. On Chase Military cards all interest and fees incurred during deployment will be refunded.
How to apply: To request assistance log into your online account:
- Click Secure Message Center (in blue on the upper right side)
- Select Send new message
- Under inquiries select Military Service Members Civil Relief, then select SCRA Orders/documents from the drop-down menu, then click Go
- Please be sure to enter account # in the blank message box provided (only one account # is needed)
- Click Add/Remove attachments
- Select Done
Phone: For a military specialist, call 1-877-469-0110 (for U.S. calls) or 1-318-340-3308 if overseas.
Citi SCRA Benefits
Benefits: Citi has customer service representatives standing by to answer your questions and solve your problems. The waive all fees and will reduce your APR to 0%, for all Citi card accounts, opened prior to active duty.
How to apply: Call Citi at 1-877-804-1082 or if outside the U.S. (call collect) 1-605-335-2222.
You may also fax, mail or overnight/express delivery to the fax number and address listed below. Please make sure you also send the proper documentation – this could include a copy of your written Department of Defense (DoD) orders, a letter from your commanding officer, or any other document that the DoD deems a substitute for official orders.
For credit cards, mortgage, and other banking products from Citi:
Citi Customer Service
P.O. Box 790398
St. Louis, MO 63179
Discover SCRA Benefits
Benefits: At Discover, we are grateful for your service or the service of a loved one, and want to help you take full advantage of your benefits. Service members and their spouses/domestic partners have earned the following Service Members Civil Relief Act (SCRA) benefits for the period of active duty service:
- 6% or less annual percentage rate (APR) on Discover card purchases and cash advances
- No late fees
This coverage lasts as long as the service member is on active duty—and is even applied retroactively to the active duty start date. Once activated, your SCRA benefits may automatically extend to other Discover products, such as personal loans, home equity, home loans and student loans.
How to apply: Simply log into your Discover account and request SCRA benefits.
GE Capital SCRA Benefits
Benefits: See Synchrony Bank
Synchrony Bank SCRA Benefits
Benefits: Synchrony Bank will review all current and closed accounts (GE Capital) and will reduce interest rates to 6%, and waive all associated fees.
How to apply: Contact Synchrony Bank at 1-800-232-6954, provide your social security number and a recent LES.
US Bank SCRA Benefits
Benefits: If you obtained your U.S. Bank mortgage, loan, a line of credit, or credit card before being called to active duty, SCRA allows a cap of 6% on the interest rate and a waiver of all fees while you are on active military service.
How to apply: Contact the Military Services Center to request the benefit:
- email: email@example.com
- phone: 1-800-934-9555
- fax: 1-855-791-2100, attn: SCRA
Wells Fargo SCRA Benefits
Benefits: Service members can limit interest rates to 6 percent for credit cards —if they obtained the loan before their entry on active duty. The interest rate reductions are temporary and rates will return to the prior rate at the end of active duty (or longer as provided by the law for certain loans).
How to apply: Contact credit card services at 1-800-642-4720.
Victoria’s Secret SCRA Benefits
Benefits: Victoria’s Secret will only apply benefits for an account of a service member or where the service member is a co-signer, not just an authorized user. Also, the card has to have been obtained BEFORE the service member started active duty. The cap of APR will be at 6%
How to apply: Contact 1800-695-9478 and request the benefits you will then be emailed a form and you will need to fax it with your spouse’s orders
Thanks for reading… If we’re missing any credit card companies, feel free to leave the specifics in the comments!