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Show Consolation to all draftees: you have debt protection Protection against foreclosure foreclos-ure on debts and installment payments is available under the law tc men who have been drrfLed into the Armed Forces, according tc Dallis A. Christen-i3n, Christen-i3n, managei of the Central Utah Chaptei, American Red Cross. Mr. Christensen's statement came as a result of numerous requests for advice and help from wives of draftees when they have become delinquent on various time payment contractu. con-tractu. Tc receive protection against foreclosure, the debt must have been incurred prior to being drafted, M.. Christensen said. But if this is the case, a draftee draf-tee is allowed a moratorium on such payments until 60 days aftei discharge. Mi. Christensen's Chris-tensen's statement follows: "Because ol the Vietnam conflict and the steady build-up of our armed forces, many men with families and added financial finan-cial obligations have been inducted in-ducted into the military. With this service and usually reduced pay, hardships in meeting past debts have been wide spread. Some creditors have threatened repossession of automobiles, furniture and other items, if payments are not made. Threatened Threa-tened and actual court actions' have also been used. "Many servicemen and their dependents do not know that they are protected against such action by law. The i Soldiers Sol-diers and Sailors Civil Relief Act of 1941, which gives this protection, is still in force and provides both servicemen who: are drafted and their depend-! cnts protection against losing; property because of inability-, to make payments. The 'awj states that time-payments on! goods purchased prior to being! inducted into the armed forces for-ces can be stopped when in-: ducted and resumed 60 dayo after discharge. The law states that interest on the balance can be charged at the rate of six per cent per annum during the man's time in service and that property can be repossessed reposses-sed only by order ofv a court of law, and in no other way. A penalty of $1000 and a year in prison is specified for illegal repossession. The law covers homes and real property as well as personal items purchased on time payments. Some insurance payments are also covered. |
