A financial institution’s activities regarding the Servicemembers’ Civil Relief Act (SCRA) and Military Lending Act (MLA) can result in operational, compliance, strategic, and reputation risks. The SCRA was enacted to provide protections to servicemembers to enable them to devote their time and energy to serving our country by limiting certain actions regarding their loans.
Similarly, the MLA limits the amount that creditors may charge, including interest, fees, and charges imposed for credit insurance, debt cancellation and suspension, and other credit-related ancillary products sold in connection with the transactions.
We will walk through the necessary steps you need to take at the time an application is taken, when a loan becomes delinquent, and when you become aware that your borrower meets the definition of a “covered borrower” under each of the Acts. Sample policy language and other tools to facilitate compliance with these requirements will be provided.
What You’ll Learn
- Understand the background and requirements of the MLA and SCRA
- Identify covered borrowers
- Detail the primary lending provisions of the SCRA
- Review the types of credit covered by the regulations
- Recognize the components used to calculate the MAPR
- Utilize provided materials to enhance your policies and procedures
Who Should Attend
This informative session is directed to branch managers, consumer loan officers, loan operations personnel, compliance officers, and internal auditors.