Did Capital One Target Deployed Soldiers for Foreclosure?
Until recently, the U.S. Army had a recruiting slogan: "Army of One." The Obama administration is now concerned that slogan may have been a bit too accurate, and wants to know whether, when American men and women shipped out to serve their country overseas, anyone was "watching their six" back home.
Case in point: Last week, the Department of Justice wrapped up an investigation of Capital One (COF), in which it accused the bank of violating the rules of the Servicemembers Civil Relief Act -- specifically, rules that forbid:
- Charging more than 6% interest on loans and credit card debt incurred prior to a servicemember's being called up for active duty, during the period of service.
- Foreclosing on a servicemember's home for missing a mortgage payment.