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#2220674 - 08/29/19 03:23 PM MLA and SCRA
mdog76 Offline
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Joined: Jan 2007
Posts: 645
Looking for help on distinguishing the difference between the two:

MLA - must be determined before the loan is made and can't have an APR greater than 36%

SCRA - enacted if someone is called into duty and has existing obligations and can request that those obligations be lowered to 6% rate

Short and sweet but do I have the basic premise of the two?

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Lending to Servicemembers (SCRA, JWNDAA), War, Terrorism
#2220678 - 08/29/19 03:29 PM Re: MLA and SCRA mdog76
Skittles Offline
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MLA - the MAPR (Military Annual Percentage Rate) cannot be greater than 36%. There are a few different fees that are included in the MAPR over the APR (i.e. credit life insurance).
My Opinions Only

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#2220730 - 08/30/19 12:21 PM Re: MLA and SCRA mdog76
Adam Witmer Offline
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Posts: 2,622
mdog76, I think you have a good basic summary of the two. MLA applies to active duty servicemembers at the time of origination while SCRA applies to credit that was obtained before active duty.
Adam Witmer, CRCM

All statements are my opinion, not those of my employer, and should not be taken as legal advice.

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#2220799 - 08/30/19 08:52 PM Re: MLA and SCRA mdog76
Andy_Z Offline
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For clarity, the MLA includes dependents and the SCRA has many more components than just the 6% rate cap on preservice loans, but with tweaking your general concept is correct.
My opinions are not necessarily my employers.
Rules and Regs minus Relationships equals Resentment and Rebellion. John Maxwell

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