HUD announced a revised Notice of Disclosure form that emphasizes the rights of active duty military and their dependents who are protected under the Servicemembers Civil Relief Act (SCRA).

Under the SCRA, military personnel on active duty are entitled to mortgage relief, including a lower interest rate on their mortgages and foreclosure protection.

A foreclosure proceeding against certain military personnel who are recalled to active duty is not valid unless the creditor obtains a court order approving it and further states that the courts may stop the proceedings for a time or adjust the debt.

“We all stand behind the men and women of our military when they are called upon to serve,” said HUD Secretary Shaun Donovan. “The Servicemembers Civil Relief Act enables our armed forces to focus on their mission abroad without worrying about their families at home.”

The revised form stipulates who is entitled to legal protections under the SCRA, what legal protections servicemembers are entitled to, how a servicemember or dependent can request relief, and how a servicemember or dependent can obtain information about the SCRA.

In its revised form, the Notice of Disclosure also emphasizes that there is no requirement for servicemembers to alert lenders of their military status in connection with a foreclosure.

It is the lender’s responsibility to make that determination and to send a copy of the Notice of Disclosure to homeowners in default on a mortgage.