Category Archives: News

Active military personnel 6 percent APR maximum

soldier jeans backpackThe little-known Servicemember’s Civil Relief Act (SCRA) prevents credit card issuers from charging individuals entering, called to active duty in the military, or deployed service members more than 6% APR on what they owe the institutions.

Military.com writes the limit applies to other loans besides credit card debt.

  • Outstanding credit card debt
  • Mortgage payments
  • Pending trials
  • Taxes
  • Terminations of lease

The article later clarifies the conditions for the 6% APR maximum.

“The SCRA unambiguously states that no interest above 6 percent can accrue for credit obligations (that were established prior to active duty or activation) while on active duty, nor can that excess interest become due once the servicemember leaves active duty – instead that portion above 6 percent is permanently forgiven.”

“Furthermore, the monthly payment must be reduced by the amount of interest saved during the covered period.”

“Note: This law only covers debt incurred prior to military service.”

Recently Lexology.com reported “The U.S. Department of Justice is Ramping Up its Enforcement of the Servicemembers Civil Relief Act.”

“Contrary to beliefs held by many, the SCRA applies to all companies, not just banks. The current law is very broad in scope, providing benefits and protections related to rental agreements, security deposits, prepaid rent, evictions, installment contracts, interest rates on all debt: including home loans, credit cards and student loans, mortgage foreclosure, civil judicial proceedings, automobile leases and repossessions, life insurance, health insurance and income tax payments.”

“On November 2, 2016, DOJ announced a new program, the Servicemembers Civil Relief Act Enforcement Support Pilot Program, to support its enforcement efforts related to protecting the rights of current and former military personnel as part of DOJ’s Servicemembers and Veterans Initiative.”

“The new pilot program funds Assistant U.S. Attorney and trial attorney positions to assist with SCRA enforcement, and also designates military judge advocates currently serving as legal assistance attorneys to serve as Special Assistant U.S. Attorneys to support DOJ’s enforcement efforts related to the SCRA.”

Wells Fargo paid a hefty fine for not following the SCRA guidelines.

“The Justice Department announced that Wells Fargo Bank, doing business as Wells Fargo Dealer Services, has agreed to change its policies and pay more than $4.1 million to resolve allegations that it violated the SCRA by repossessing 413 vehicles owned by protected servicemembers without obtaining a court order.”

“In a separate announcement, the Office of the Comptroller of the Currency (OCC) assessed a $20 million civil money penalty against Wells Fargo for the same infractions.”

The AOG USAA World Mastercard goes one step further for active-duty individuals.

  • Special 4% SCRA rate: When you have a balance on your account at the time you enter active military duty, get 4% on that existing balance during the period that you serve your country.
  • 100% rebate of finance charges: We’ll rebate all finance charges accrued during a qualified military campaign.

Bank of America has an entire FAQ page on the SCRA.

“For example, the SCRA places a limit on the amount of interest that may be collected on financial obligations of any kind: 6 percent per year during the time of military service. Any amount over and above that 6 percent is permanently forgiven.”

“There are 3 conditions you need to fulfill in order to benefit from the 6 percent interest rate cap provided by the SCRA. You need to have taken out the loan before you began active duty (a loan taken out while on active duty is not eligible for SCRA benefits), you must make a request for benefits within 180 days after the end of your active duty and you must request the benefits by supplying a copy of your active duty orders or other qualifying documentation.”

“If you have a credit card or installment loan amount with Bank of America, we will extend your benefits on those accounts for an additional 6 months. If you have a mortgage account with us, we will extend your benefits for an additional 12 months.”

 

Chase credit card discontinues checking overdraft protection

chase bank logoChase credit card holders will no longer be able to use their card as overdraft protection for their Chase checking accounts starting August 26, 2016.

The overdraft protection feature was a handy way to avoid the Non-Sufficient Funds (NSF) fee of $34 Chase charges for bounced checks in linked checking accounts.

Chase’s announcement explains that overdrawn amounts on linked savings accounts will still be covered and will eliminate the $10 transfer fee.

The credit cards include:

The change applies only to customers who have Chase checking accounts and credit cards linked to them.

Contact Chase bank for alternatives methods to avoid the hassle of having checks bounce and be socked $34 for each withdrawal.

This also includes electronic payments via the internet, especially automatic recurring charges that you may have forgotten about.

Consider setting up a Chase savings account for automatic payments, since that will have overdraft protect without any transfer fee.

Hooters Master Card

UPDATE

In 2012 the Hooters Master Card was replaced by the Hooters Visa Card.

Recently Hooters Master Card program has been totally discontinued until further notice.

The material written below is kept only for the historical purposes.

Stay tuned if Hooters decides to renew their credit card program.


Nobody else gives you 5% rewards for going to Hooters

A Hooters Master Card offers the real deal in 5% rewards for purchases at Hooters and 1% for shopping outside of Hooters. Here are more benefits:

  • Your Hooter points never expire and there is no limit to how many you can earn
  • No annual fee (for qualified applicants)
  • Zero liability on unauthorized purchases.
  • Cash advances at over 900,000 MasterCard ATMs
  • Low variable rates (for well-qualified applicants)
  • Large credit lines (for well-qualified applicants)
  • FREE online account information and Bill Pay
  • Friendly 24/7/365 Customer Service
  • Flexible payment options
  • Credit building opportunities

Hooters Gift CardHooters Master Card makes redeeming your points automatic.

“Opt In” to the recurring Hooters Card Gift Card Program today and check your mailbox every month to see your reward points build up like magic.

Whenever you reach 5,000 Points, Hooters will send you a $50 gift card that’s as good as cash at your local Hooters.

No hassles, no gimmicks. It’s just that simple.

Please allow 8 weeks to receive your card.

 

Google Credit Card

Google Credit CardWhile still in it’s pilot stages, Google will offer small businesses in the United States monthly interest-free business loans up $100,000 good only for Adword Purchases.

The Google card will be issued by Comenity Capital Bank and will feature an annual interest rate of 8.99% or 0.75% per month on balances not paid-in-full at the end of the billing cycle.

The card will

  • Charge no annual fee
  • Valid ONLY for Adwords purchases
  • Have no rewards benefits

The primary use will be to keep accurate track of Google Adword campaigns.