Two Questions.....

1. If the servicemember's military orders indicate a date when the servicemember will return home and become a civilian......or perhaps a reservist returning home from active duty, does the SCRA require the bank to notify the servicemember that the bank is reinstating the original rate? Or is the bank required to verify that the orders are still true?

2. If we do reinstate the original rate, do we also change the payment amount so that the loan maintains it's original amortization and maturity date?

1. The date provided on the orders is the best estimate the government can give at that time. There are several factors that may extend or shorten their tour. As a servicemember I have had my tour extended beyond what was original ordered for the operations. You can verfify through the Rear Detachment Commander if they expect the unit to return according to schedule or utilize these websites for information: https://www.dmdc.osd.mil/scra/owa/home -OR- https://www.hrc.army.mil/verify (Army AD/AR/NG)
If it were me, I would take the extra time to verify the customers AD status. Good business is a whole lot better than bad press.

We send out notifications to all SMCRA accounts pre and post. The first notification outlines what is to occur under SMCRA benefits and second provides the servicemember or servicemember's spouse/family/other to provide documentation to our company should the tour be extended and it serves as a notification that on X day your loan will revert back to Y rate and your payment will be Z (per your original contract)....etc.

2. Yes, unless you offer another program to servicemembers and offer them that choice.

Thank you, J Flury.