SCRA compliance software that finds every covered borrower and reprices every pre-service account to 6% from the right date
Every covered borrower found, every active-duty notice repriced to 6%.
See one case, screen by screen ↓Software that finds borrowers protected by the Servicemembers Civil Relief Act and applies the relief: the 6% cap on debts taken on before service, from the date the member was called to active duty, with the excess forgiven and the payment reduced. SCRA and MLA Compliance also checks covered applicants under the Military Lending Act before they sign.
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Two federal laws protect service members who borrow, and they work on different clocks. At application, the Military Lending Act caps the military APR — interest plus credit insurance, debt protection, ancillary products, application and participation fees — at 36% for active-duty members and their dependants, and bans terms such as mandatory arbitration. After call-up, the Servicemembers Civil Relief Act caps every debt taken on before service at 6%, from the date the member was called to active duty, with the excess forgiven, not deferred.
The database look-up takes a minute. The rest is done by hand: reading the orders for the report date, searching every product for accounts the member holds alone or jointly with a spouse, working the interest back period by period in a spreadsheet, and catching the payment protection plan that pushes a 33.6% APR past 36%. A common shortcut — setting 6% from the day the notice arrived — leaves most of the refund unpaid, and one covered loan priced above the cap is a void contract.
Estimated split for one active-duty notice with several accounts, by hand and with the solution. Days.
Six specialist agents read the orders, find every account and back-date the 6% cap to the day of call-up; the compliance analyst approves.
SSgt Marcus Whitfield of the Army National Guard emails his orders to Ashgrove Bank on Friday 2 October. Servicing sets 6% on his car loan from that day. Here is what happens next, screen by screen, in the working solution.
Danielle opens her cases: 9 open active-duty notices, the oldest on day 20 of the bank’s 30-day policy and none past 30; 2 applications blocked before signing; $8,407 forgiven this month across 52 accounts. Each row says what the agents found — for SSgt Whitfield, “4 accounts to 6% from 14 Jul”.
His refund ledger opens with the cap where servicing put it: 2 October, the day the email arrived. Every statement period since he was called up sits on one line — charged at the contract rate, at 6%, and the refund. From 2 October the refund is $90.71, and the $35.00 late fee of 27 August stays on his card.
“Refund from 2 Oct: $90.71 — $772.69 short of what the Act requires.”
His email of Fri 2 Oct 14:06 asks for the Servicemembers Civil Relief Act rate “to my car loan and my other accounts”, with orders 26-196-0412 and a signed request dated 29 September. The DMDC SCRA certificate, pulled at 14:09, is kept with the case. The service dates sit beside it: called to service 14 Jul 2026, expected release 17 Aug 2027.
The notice reader lifts the report date, 14 Jul 2026, and a 400-day Title 10 mobilisation from the orders. The status checker’s DMDC certificate agrees. The account finder searches every product, alone and joint: five accounts, four opened before service — including a home equity line he holds with his spouse that his letter never mentioned — and a card opened on 21 Aug 2026, during service.
“Finished in 38 s · 6 agents.”
The cap start date is a working control: called to active duty, letter signed or notice received. Danielle presses Back-date to 14 Jul and recalculate. The rows from July come back into the refund, part-periods split by day, and the total counts to the new figure: $743.97 credited back and $119.43 of accrued interest reversed.
“Refund owed $863.40 — cap effective from call to active duty, not notice date.”
Margin notes pin each finding to the rows it explains. The home equity line HE-3308-2271, joint with Kayla Whitfield, goes from 9.24% to 6% and stays there a year after release because it is secured by their home. The $35.00 late fee counts as interest and is refunded. Card 9032, opened after call-up, is not eligible for the 6% cap — it was checked under the Military Lending Act when he applied.
Payments while he serves fall by $274.65 every month.
Ninety days at 6%, 14 Jul to 11 Oct, at actual days over 365. On the auto loan alone, $78.68 already billed is credited and $21.42 accrued is reversed. Each periodic payment falls by the forgiven interest — the auto loan from $582.53 to $549.96 — and the principal schedule is not accelerated.
“Forgiven, not deferred — never billed again.”
The letter thanks SSgt Whitfield, lists all four accounts with the new rate and payment, and explains the joint home equity line and why card 9032 is unchanged. At $863.40 the refund is within her $1,000 limit, so one approval is enough. She records her reason, and the instructions go to Rosa Delgado’s team, who post each rate, credit and payment.
Reason, kept on the record: “Orders and DMDC agree on 14 Jul; 4 pre-service debts.”
Kayla Whitfield, a dependant, applied online on Sun 11 Oct for a $4,500 personal loan at 27.99% with a $225 origination fee. The MLA database says she is a covered borrower. The disclosed APR is 33.58%, but the $14.50-a-month payment protection plan she chose at checkout counts in the military APR and takes it to 39.96%. The agreement also carries an arbitration clause in §14.
Blocked before signing — the agent blocks and proposes; it never approves a loan.
Two fixes are proposed: offer the loan without the payment protection plan, and switch to the covered-borrower agreement v7-M with no arbitration clause and the MLA statement included. The military APR falls to 33.58% with no banned terms, the payment drops from $261.48 to $246.98, and the changed application goes to Ben Tran to approve.
The same family’s accounts, seen by the four people who carry them — what their week looked like, and what it looks like now.
Six specialist agents read the orders, find every account and back-date the 6% cap to the day of call-up; the compliance analyst approves.
Reads letters, emails, call notes and military orders: name, branch, component, order number, report date, length and expected release — with the page cited for each field.
Runs the DMDC SCRA look-up for notices and the monthly scan, and the MLA database check at application; files every certificate with the case.
Searches cards, auto loans, personal loans and home equity lines for every account the borrower holds alone or jointly with a spouse, and compares each open date with the date called to service.
Reworks interest at 6% from the date called to service, period by period at actual days over 365, fees included; splits the excess into billed (credit back) and accrued (reverse) and sets the reduced payment.
Builds the military APR with interest, credit insurance, debt protection, credit-related ancillary products, application and participation fees; reads the agreement for banned terms and checks the required disclosures.
Drafts the borrower letter in plain words, the instructions to servicing and the restoration notice.
Approves; a second approver above $1,000 and on restorations. The agents propose; a named person decides.
The analyst can ask in plain words — or tell it what to schedule. Every answer points back to the orders, the certificate or the statement it came from.
Why does the cap start on 14 Jul and not when he wrote to us?
The Act counts from the date he was called to active duty, not from the day the notice arrives. His orders give a reporting date of 14 Jul 2026 and the DMDC certificate shows active duty from the same day. Servicing had set 6% from 2 Oct, the notice date — that refunds only $90.71 and keeps the $35.00 late fee of 27 Aug. From 14 Jul the refund is $863.40.
Why isn’t the card ending 9032 going to 6%?
Because it was opened on 21 Aug 2026, five weeks after SSgt Whitfield was called to active duty on 14 Jul. The 6% cap applies only to debts taken on before service. The card is protected another way: it was checked under the Military Lending Act at application — covered, MAPR 22.99%, MLA statement given, no arbitration. Nothing to change.
Is Kayla Whitfield’s loan within the Military Lending Act?
Not as applied. The disclosed APR is 33.58%, but the MAPR must also count the payment protection plan — $14.50 a month — which takes it to 39.96%, above the 36% cap. The agreement also has an arbitration clause in §14, which is banned for a covered borrower. Offered without the plan and on agreement v7-M, it is 33.58% and clean.
Remind me 30 days before his release to restore the rates
Done. On 18 Jul 2027 the agents will check the DMDC record; if his release on 17 Aug 2027 is confirmed, the letter drafter prepares the 30-day notice and the restoration comes to you and Victor Hale for approval. If his orders are extended, the 6% simply continues.
13 screens from the working solution, on its sample data. Pick one to see it large.
The rules every notice and every application is checked against. Changes are versioned and on the audit trail.
| Setting | Default | Choose from |
|---|---|---|
| Apply 6% within | 30 days | Policy clock from the day a notice arrives, in days |
| What counts as a notice | Orders, a commander’s letter or DMDC | Orders are not required — any indicator of service is accepted |
| Reprice on a DMDC match without a notice | On | On · off — monthly scan applies 6% and writes to the borrower |
| Fees charged during service | Forgiven with the interest | Fees count as interest under §3937(d) |
| Debt secured by a home | 1 year after release | Protection continues after release |
| Restoration notice | 30 days before | Before a rate goes back up |
| Covered-borrower check | MLA database, consumer report as second source | When the consumer applies, or up to 30 days before |
| Applicant says active duty, database says no | Treat as covered and ask the analyst | For a self-declared covered applicant |
| Contract for a covered borrower | Personal Loan Agreement v7-M | No arbitration, no SCRA waiver, no prepayment penalty |
| Analyst approves alone up to | $1,000 | Above it, and on every restoration, the second approver signs |
Every figure is labelled: a target the solution is built to, an estimate, a typical published result, or a proven one.
“demo” = seen in the working solution, on its sample bank data · “target” = the design goal, measured in the live solution; the ≈19-day by-hand baseline is illustrative · “estimated” = our estimate, including the split of days · “typical” = published sources: 32 CFR §232.9 (MLA: contract void from inception, actual damages of at least $500 per violation) and DOJ, United States v. Sallie Mae (D. Del. 2014, about $60 million for nearly 78,000 service members). People, the bank and accounts named on this page are fictional — characters and sample data in the working solution.
Software that finds borrowers protected by the Servicemembers Civil Relief Act and applies the relief: the 6% cap on debts taken on before service, from the date the member was called to active duty, with the excess forgiven and the payment reduced. SCRA and MLA Compliance also checks covered applicants under the Military Lending Act before they sign.
For an active-duty notice and in the monthly portfolio scan, the military status checker runs the DMDC SCRA look-up and files the certificate with the case. At application, it checks the MLA database when the consumer applies, or up to 30 days before, with a consumer report as a second source, and keeps the certificate with the application.
The date the member was called to active duty — not the day the notice arrives. In the working solution the cap set from the notice date refunds $90.71; back-dated to the reporting date on the orders, the refund is $863.40. The cap start is a control on the ledger, so the analyst can see the refund from each candidate date.
Yes. The account finder searches cards, auto loans, personal loans and home equity lines for every account held alone or jointly with a spouse, including accounts closed with a balance, and compares each open date with the date called to service. In the sample case it found a joint home equity line the borrower’s letter never named.
The MAPR and terms checker builds the military APR from interest, credit insurance, debt protection, credit-related ancillary products, application and participation fees — not just the disclosed APR — and reads the agreement for banned terms such as arbitration. Above 36%, or with a banned term, the loan is blocked before signing and a fix is proposed.
No. The agents propose; the compliance analyst approves each case, a second approver signs credits above $1,000 and every restoration, and the underwriter approves a changed application. Servicing posts only approved instructions, and no letter is sent without a person’s approval.
Yes. The policy clock, what counts as a notice, proactive repricing on a DMDC match, how fees during service are treated, the restoration notice, the covered-borrower check, the covered-borrower agreement and the approval limits are all settings, versioned and on the audit trail.
The Agentic Solution Engine builds and deploys it from your requirements — your military protections policy, letter templates, product list and agreements — and it goes live once every quality gate has passed. We will walk you through it on a sample of your own notices first.
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