Information for Military Consumers

tAt Sheehan Law Firm, we are proud to serve the men and women who have served our nation. Both of our attorneys are veterans of the U.S. military and are willing to do what ever it takes to assist servicemembers, veterans, and their families in South Mississippi. As veterans, our attorneys are personally familiar with the unique consumer issues facing servicemembers and as consumer lawyers, they are familiar with the laws that are designed to protect them from predatory lenders.

Military Lending Act

The Military Lending Act (MLA) is a statute designed to help stop predatory lenders from targeting servicemembers. Under the MLA, interest rates, fees, and service charges are capped at total rate of 36% of the loan per year, lenders are prohibited from charging penalties for prepaying a loan, lenders cannot "rollover" a loan into another loan, the lender cannot require you to set up an allotment, and the lender cannot require arbitration or that you waive other rights as a consumer. This statute applies to all active duty servicemembers, including members of the Reserves and National Guard while serving on active duty. If you feel as if a creditor has violated the MLA, contact us to set up a free consultation.

Servicemembers Civil Relief Act

The Servicemembers Civil Relief Act (SCRA) provides relief to members of the military and their families while the servicemember is deployed or called to active duty. This statute is very broad and includes relief such as

  • Interest rates cap of 6% on loans incurred prior to the period of active duty
  • The right to terminate a residential lease if you have to deploy or PCS,
  • Protection from eviction, and
  • The ability to terminate certain cellphone contracts and automobile leases.

Deployments, activations, and PCSing can be stressful times for servicemembers and their families. If creditors are trying to add to that stress, our attorneys can help. Schedule a free consultation today.

Debt and Your Security Clearance

We have represented hundreds of clients on the Gulf Coast that have been members of the military or government contractors. Most of our clients have expressed concern that bankruptcy may somehow affect their clearance and their job. Contrary to what you may have heard, a bankruptcy cannot be the single factor in the determination to revoke clearance and in many cases bankruptcy may actually prevent you from losing your clearance.

Negative credit reporting and excessive debt can put your security clearance at risk. A bankruptcy can discharge debts that endanger your security clearance and put you back in control of your finances. It is important to discuss your situation with an attorney to see all of the options available to you.