"Active Duty" 6% Interest Rate Protection

Answered by:

Question:

If an individual enlists into the military and has an existing loan with a financial institution is he/she protected by the interest rate of 6%? It is confusing when the word active duty is used rather than called to active duty when explaining the 6% interest rate.

Answer:

All active duty servicemembers are eligible for the rate reduction on pre active duty debt. That includes those who enlisted and regardless of where their duty station is located.

First published on BankersOnline.com 12/10/12