An active duty alert on a credit report means businesses must take extra steps before granting credit in the service member’s name
If an eviction action is filed, the SCRA gives service members or their dependents the right to ask the court for a temporary stay of the proceedings for three months.
Residential Lease Termination: The federal SCRA allows active duty service members to terminate a residential lease if one of the following circumstances applies:
- The lease was entered into prior to active duty, when the service member is called to active duty for 180 days or more; or
- The lease was entered into during active duty, when the service member receives orders for a Permanent Change of Station or to deploy with a military unit for more than 90 days.
To break a lease under the SCRA, a service member must deliver written notice to the landlord with a copy of the military orders. With proper notice, the effective date of termination is 30 days after the date on which the next rental payment is due. A sample SCRA lease termination letter is available here.
If a service member obtained a mortgage prior to active duty, the federal SCRA requires that a mortgage lender get a court order before it can foreclose on that service member’s home during any period of military service and for one year thereafter. If a lender seeks such an order, the court ount of the service member’s obligation when it can be shown that military service impacted the service member’s ability to meet the financial obligation.
A credit report includes information on where you live, how you pay your bills, and whether you payday loans in Fredericksburg have been sued or have filed for bankruptcy.
Businesses use the information in a credit report to evaluate applications for credit, insurance, employment, and renting or buying a home
The federal Fair Credit Reporting Act requires each of the nationwide credit reporting companies – Equifax, Experian, and TransUnion – to provide an individual with a free copy of his or her credit report once every 12 months upon request. The only official site through which to order a free annual credit report is annualcreditreport.
For security reasons, does not work outside the U.S. and its territories. Service members stationed outside the U.S. or deployed overseas can order a free copy of their credit report by mailing a completed request form or calling 1-877-322-8228.
Under federal law, a deploying service member can place an “active duty alert” on his or her credit report at no cost. The report helps minimize the risk of identity theft during deployment. Active duty alerts last for one year and can be renewed to match the period of deployment.
To place an active duty alert, a deployed or deploying service member should contact any one of the three nationwide credit reporting companies:
- Equifax: 1-800-525-6285, equifax
- Experian: 1-888-397-3742, experian
- TransUnion: 1-800-680-7289, transunion
Washington’s Collection Agency Act (RCW ) and the federal Fair Debt Collections Practices Act govern the practices of “collection agencies,” which are businesses that collect debts for other businesses. These laws do not apply to businesses trying to collect on their own past-due accounts.
It is important to remember that while there are no military-specific provisions, military service members have the same rights under laws governing debt collection as civilian consumers. For example, a debt collector may contact an individual’s supervisor, but only to find out where the person lives, his or her phone number, and where the individual works. A debt collector may not tell the individual’s supervisor that a debt is owed and typically may only contact the supervisor once. Military service members who have collection agencies repeatedly contacting their commanding officer should consider filing a consumer complaint.