What Do You Suggest?

[Sian]

If your car is not being driven in your absence, I wonder if your parents can request the discount given to members of armed services deployed. Here it's 80%

i didn't know about that. i'll let them know.

[bjl584]

Sian,
Can you please change your font color back to the default? The blue letters are annoying. Thanks.

[Like2Plan]

yeah, it is weird... that's one of the reasons that i'm gettin rid of them. and they're called Emblem.

that would be 6% but only if they chose to honor that. not everyone does (my car loan won't).

& thanks for your support

Sian,

"In 2003, the Soldiers and Sailors Civil Relief Act was completely re-written, and re-named the Servicemembers Civil Relief Act. The bill was signed into law by President Bush on December 19, 2003. This is the law that now governs legal protections for members of the United States Military."

Here is a link to the USAA web site on the SCRA:

Servicemembers Civil Relief Act offers military professionals a variety of protections.

It seems that the key to being eligible for the reduction is when you took on this debt. Was it prior to going on active duty?

"Servicemembers Are Entitled to Reduced Interest Rates:
SCRA is intended to lower the monthly financial obligations of a servicemember who enter
active duty, by minimizing the effect of his/her reduced income. SCRA applies to credit card debts, car loans, mortgages, personal loans, and other similar obligations and liabilities incurred by the servicemember (or jointly with his/her spouse).
• Debt must have been incurred by the servicemember before the member entered active
duty;
• All such debts shall not bear an interest rate more than 6% per year during the period
of active duty;
• All interest in excess of 6% must be forgiven by the creditor and cannot be shifted to the
principal or shifted for payment at a later time;
• The creditor must reamortize the payments on the loan based on the 6% interest rate,
which will result in lower monthly payments for the servicemember;
• The definition of "interest" under SCRA includes interest on the loan, service charges,
renewal charges, fees, or any other valid charges. All such additional charges combined
cannot exceed the 6% annual rate of interest on a debt.
• The definition of "interest" does not include insurance premiums on the property
purchased (which incurred the loan).
• This SCRA provision does NOT apply to obligations incurred by the member while on
active duty.
• Example: Service member has a credit card with a $ 1,000 charged debt prior to
active duty. After going on active duty, he/she charges another $2,000 in credit card
charges. Only the $1,000 of the total $3,000 debt will qualify for the interest rate
reduction to 6%.
• To take advantage of the reduced interest rate on obligations incurred before going on
active duty, servicemembers must:
• Provide a creditor with written notice and a copy of the military orders; and
• The notice must be given to the creditor at any time up to 180 days after the member's
termination or release from active duty;
• Upon receipt of proper notification, creditors must apply the 6% interest cap
beginning from the member's first day of active duty.
However, the 6% interest rate cap does not apply to federal guaranteed student loans. "
SCRA briefing

[Sian]

about the Soldiers Civil Relief Act

i've now looked over the the Soldiers Civil Relief Act (SCRA). and this is basically what it says.

if the debt, loan, credit card or whatever had occurred BEFORE entering active duty then it is eligible for the 6%.

i'm regular army, not national guard or reserves. so for me to have the 6%, i would only be able to apply it to anything before i entered last year. so if it's less than a yr old it's technically not eligible.

my bank won't allow for me to use the 6% interest rate because i incurred the debt in may 2012. therefore since i was ALREADY active it doesn't apply since they based it on the current pay that i have. they had told me that they can't do it since i'm not national guard. meanin that since i didn't BECOME active AFTER the loan i can't do it.

but i CAN apply it to anythin else that i had (over a year old). so i'll be sendin the info to my credit card so that i can get it lower.

also the scra is not just for deployment. it's overall. so i could have used this since last yr. i didn't have to wait til i deployed to use this. this is good news for me because i can have this permanently applied to that pesky student loan. YAY ME!!! lol

as for the colors i'll make it darker but not black. i'm a bit different

[ValQue]

Great job on that emergency fund! I would tackle the highest debt first...which I think is that time share. While you work on paying that off, I'd also keep looking to sell it. It is very likely if you do sell it, you will not recoup all the money you paid for it.

I agree. I would sell that as soon as you can. Pay off your credit card as soon as you can as well. Your student loans will be a challenge to pay off so I'd focus on the more reachable debt at this point. Good luck!