SCRA Foreclosure Protection
Your home is protected during active duty. SCRA prevents foreclosure without court approval and caps your mortgage rate at 6%.
Your Mortgage Protections
The SCRA provides two major mortgage protections for service members:
Key Protections
- No foreclosure without court order during service and 1 year after (50 U.S.C. § 3953)
- 6% interest rate cap on mortgages taken out before service (50 U.S.C. § 3937)
- Stay of proceedings—courts can pause foreclosure proceedings
- Protection extends to spouses and dependents
Foreclosure Protection Rules
Under 50 U.S.C. § 3953 (SCRA Section 303), a lender cannot foreclose on your home without a court order if:
- The mortgage was obtained before you entered active duty
- You are currently on active duty or within 12 months of leaving (per § 3953(c))
- Your ability to meet the obligation is materially affected by military service
Even if you've missed payments, your lender cannot foreclose without going to court first. If you receive a foreclosure notice, respond immediately citing SCRA protections.
The 6% Mortgage Rate Cap
If your mortgage was taken out before military service and has an interest rate above 6%, your lender must reduce it to 6% during your active duty period.
For a $300,000 mortgage at 7.5%, this means:
- Monthly savings: ~$200-300/month
- Annual savings: ~$2,400-3,600/year
- Plus: Retroactive refunds if you didn't request it immediately
Get Your 6% Rate + Foreclosure Protection
We contact your mortgage servicer, request the rate reduction, and document your protection.
Get Started — $59 Filing FeeHow to Request Protection
For the 6% Rate Cap:
- Send written notice to your mortgage servicer
- Include a copy of your military orders
- Request the rate be applied retroactively if applicable
If Facing Foreclosure:
- Notify the court that you are on active duty
- Request a stay of proceedings under SCRA
- Contact a military legal assistance office immediately
Protection After Service Ends
Under 50 U.S.C. § 3953(c), the foreclosure protection extends for 12 months after leaving active duty. During this period, lenders still cannot foreclose without court approval.
The 6% rate cap ends when your active duty ends, but you keep any savings accumulated during your service.
If you're struggling with payments after service, contact your servicer about loss mitigation options. Many have special programs for veterans transitioning out of the military.
Protect Your Home Today
SCRA Saver handles your mortgage rate reduction request, sends certified documentation, and creates a paper trail of your protected status.
Calculate My Savings$59 filing fee • All 21+ protections included