This entry into active military has materially affected my ability to meet this obligation. Under these circumstances, federal law prescribes the maximum interest rate which I may be charged. The Servicemembers Civil Relief Act (50 U. S. C. App. 527) establishes a ceiling of 6% annual interest on any obligation under the circumstances described above. This interest rate must be maintained for the entire period I am on active duty.
This percentage cap includes all service charges, renewal charges, and fees. The rate is applied to the ouststanding balance of the obligationas of the date of entry onto active duty mentioned above. Any interest charge above this statutory ceiling must be forgiven, not accrued. Please ensure that your records reflect this statutory ceiling and that any charges in excess of a 6% annual rate are withdrawn.
You should also be aware that federal law (50 U. SC. App. 32) circumstances the manner in which you may enforce certain rights under the contract, including any right to repossession of the property. I thank you in advance for you attention to this matter. Should there be any questions, please feel free to contact me at the address below. Attached Is a copy of my military order bringing me to my permanent duty station.