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#1590392 - 08/10/11 08:25 PM Servicemembers Civil Relief Act
ComplianceGrl15 Offline
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Joined: Apr 2011
Posts: 257
West Virginia
If the servicemember has a co-signer on their loan that is not a servicemember can the collateral be repossessed or foreclosed on?

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Lending to Servicemembers (SCRA, JWNDAA), War, Terrorism
#1590476 - 08/10/11 09:51 PM Re: Servicemembers Civil Relief Act ComplianceGrl15
lindsafer Offline
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Joined: Aug 2011
Posts: 40
Minnesota
If the contract was entered into before going on active duty and at least one payment was made before that time, the creditor cannot repossess the property, while the member is on active duty, nor can they terminate the contract for breach, without a court order.

- I don't believe it matters if the co-signer is not a servicemember. It is still the debt of the servicemember and is therefore protected.
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Linds~

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#1590570 - 08/11/11 01:24 PM Re: Servicemembers Civil Relief Act lindsafer
Dan Persfull Offline
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Dan Persfull
Joined: Aug 2002
Posts: 46,832
Bloomington, IN
Quote:
and at least one payment was made before that time


I have never heard about or read about this requirement. Can you provide a reference to support this statement?
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The opinions expressed are mine and they are not to be taken as legal advice.

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#1590654 - 08/11/11 02:56 PM Re: Servicemembers Civil Relief Act Dan Persfull
ComplianceGrl15 Offline
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Joined: Apr 2011
Posts: 257
West Virginia
I have never heard/read that either. I have heard that if there is a valid court order foreclosure or repossession may occur.

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#1590747 - 08/11/11 04:35 PM Re: Servicemembers Civil Relief Act ComplianceGrl15
lindsafer Offline
Junior Member
Joined: Aug 2011
Posts: 40
Minnesota
Section 302 (a)(2)- Installment contracts.
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Linds~

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#1590777 - 08/11/11 05:07 PM Re: Servicemembers Civil Relief Act lindsafer
Dan Persfull Offline
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Dan Persfull
Joined: Aug 2002
Posts: 46,832
Bloomington, IN
I learned something new today. smile

Sec. 532. PROTECTION UNDER INSTALLMENT CONTRACTS FOR PURCHASE OR LEASE.
(a) PROTECTION UPON BREACH OF CONTRACT-
(1) PROTECTION AFTER ENTERING MILITARY SERVICE- After a servicemember enters military service, a contract by the servicemember for--
(A) the purchase of real or personal property (including a motor vehicle); or
(B) the lease or bailment of such property,
may not be rescinded or terminated for a breach of terms of the contract occurring before or during that person's military service, nor may the property be repossessed for such breach without a court order.
(2) APPLICABILITY- This section applies only to a contract for which a deposit or installment has been paid by the servicemember before the servicemember enters military service.
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

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#1590843 - 08/11/11 06:21 PM Re: Servicemembers Civil Relief Act Dan Persfull
ComplianceGrl15 Offline
Gold Star
Joined: Apr 2011
Posts: 257
West Virginia
Thank you!!

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