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I’m in the military. Can exercising my rights under the SCRA hurt my credit score or can my lender or creditor close my account or reduce my credit?

No.  You cannot be penalized solely for exercising your Servicemembers Civil Relief Act (SCRA) rights, such as by asking for an interest rate deduction to 6 percent, canceling an auto lease, or invoking other protections under the SCRA.  

A lender or creditor can’t revoke your credit, change the terms of your credit, or refuse to grant you credit just because you exercised your SCRA rights.  In addition, a lender or creditor can’t furnish negative information to a credit reporting company just for invoking your SCRA rights. 

Just remember, if you are late or you miss a payment, your lender or creditor can report the negative information to the credit reporting companies, hurting your credit report and your credit score.

Learn more about whether you’re covered by the SCRA.

Learn more about the Servicemembers Civil Relief Act from the Department of Justice .

If you still have questions about your rights under the SCRA, contact your local JAG office for more information.  To find your JAG Legal Assistance Office use the locator .  You also may be able to get assistance from your state attorney general .  

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