Q: If a service member purchases a motor vehicle on an installment contract while stateside on active duty and subsequently becomes delinquent on the loan while deployed, which sections of the SCRA apply? Does the financial institution have the right to repossess and dispose of the vehicle if the delinquency is not cured?
A: The protections of the SCRA apply only to obligations or liabilities entered into before the service member enters military service. See, for example, section 532(a)(2). In the example raised in the question, the installment contract was entered into while the service member was on active duty; therefore, the SCRA would not apply.