Adapting SCRA for the DOJ

A rundown of additional servicemembers eligibility and communication expectations for lenders on this infographic for the financial services industry.

The Servicemembers Civil Relief Act (SCRA) protects servicemembers with unique benefits relating to pre-existing financial loans. So, to properly identify a servicemember’s eligibility for benefits, compliant financial organizations follow several operational processes.

Over the years the Department of Justice (DOJ) has entered consent orders. In doing so, they showcased additional steps creditors and service providers should take to determine eligibility and communicate with servicemembers. In this infographic, we highlight the areas to watch.

The DOJ’s Demands for Lending to Servicemembers

Assess and adjust your SCRA program to maintain compliance. Particular areas to focus your time and attention are:

• Borrower Documentation
• Eligibility Confirmation
• Eligibility Evaluation Timing
• Timing of Ineligibility Notification
• Benefit Expiration

Consequences for Not Meeting SCRA Expectations

Failure to master the DOJ’s expectations can lead to regulatory scrutiny and a lengthy and complex lookback. Create a center of excellence to maintain compliance and provide a best-in-class experience for servicemembers.

Bridgeforce has improved clients’ ability to meet regulatory mandates by building SCRA centers of excellence. We’ve assessed customer journeys and designed workshops on best practices.  Contact us to learn how to stay compliant in the changing SCRA landscape.