SCRA Credit Card Fee Waiver: Save $550-$695/Year (Military Benefits 2026)
Bottom Line Up Front: Active duty military members can get annual fees waived on premium credit cards like Amex Platinum ($695/year), Chase Sapphire Reserve ($550/year), and others through the Servicemembers Civil Relief Act (SCRA) and Military Lending Act (MLA). This benefit can save you $550-$1,500+ annually while maintaining premium travel rewards, lounge access, and benefits. Here's exactly how to claim your waiver.
What is SCRA and How Does It Waive Credit Card Fees?
SCRA (Servicemembers Civil Relief Act)
The SCRA is a federal law designed to protect active duty military members from financial hardships during service. Key credit card benefits include:
- Annual fee waivers on premium credit cards
- 4% interest rate cap on debts incurred before active duty
- Protection from default judgments while deployed
- Ability to terminate contracts without penalties
Eligibility: Active duty military only (Army, Navy, Air Force, Marines, Coast Guard, Space Force). Does not typically apply to Guard/Reserve unless activated.
MLA (Military Lending Act)
The MLA provides additional protections for active duty military and covered dependents:
- 36% APR cap on most consumer loans
- Fee restrictions on certain credit products
- Cannot waive SCRA rights as a condition of credit
Eligibility: Active duty + dependents (spouse, children covered by Tricare)
Key Difference: SCRA vs MLA for Credit Cards
- SCRA: Fee waivers on cards opened BEFORE active duty (retroactive benefit)
- MLA: Protections on cards opened WHILE on active duty (ongoing benefit)
- Best Strategy: Open premium cards BEFORE commissioning/enlisting, then activate SCRA benefits immediately upon entering active duty
Premium Credit Cards That Waive Annual Fees
Tier 1: Ultra-Premium Cards ($550-$695/year value)
| Card | Annual Fee | SCRA Waiver? | Key Benefits | Best For |
|---|---|---|---|---|
| Amex Platinum | $695 | ✅ Yes (full waiver) | 5x on flights, hotel status, $200 airline credit, Centurion Lounge access | Frequent travelers, PCS moves |
| Chase Sapphire Reserve | $550 | ✅ Yes (full waiver) | 3x on travel/dining, $300 travel credit, Priority Pass, transfer to partners | Flexible travel rewards |
| Amex Gold | $250 | ✅ Yes (full waiver) | 4x on restaurants/groceries, $120 Uber credit, $120 dining credit | Daily spend maximizer |
Tier 2: Premium Travel Cards ($95-$250/year value)
| Card | Annual Fee | SCRA Waiver? | Key Benefits | Best For |
|---|---|---|---|---|
| Chase Sapphire Preferred | $95 | ✅ Yes (full waiver) | 2x on travel/dining, transfer to partners, no foreign transaction fees | Entry-level premium |
| Capital One Venture X | $395 | ✅ Yes (case-by-case) | 2x on all purchases, $300 travel credit, Priority Pass | Simple rewards |
| Citi Premier | $95 | ✅ Yes (full waiver) | 3x on travel/gas/dining, transfer to partners | Gas station category |
Tier 3: Business Cards ($0-$695/year value)
| Card | Annual Fee | SCRA Waiver? | Key Benefits | Best For |
|---|---|---|---|---|
| Amex Business Platinum | $695 | ✅ Yes (full waiver) | 5x on flights, 1.5x on purchases >$5K, Dell/Adobe credits | Military spouse businesses |
| Chase Ink Business Preferred | $95 | ✅ Yes (full waiver) | 3x on travel/shipping/ads, 100K point bonus | Side hustles |
How to Apply for SCRA Fee Waiver: Step-by-Step
American Express (Easiest Process)
Step 1: Call SCRA Hotline
- Phone: 1-800-253-1720
- Say: "I'm active duty military and need to enroll in SCRA benefits"
- Have ready: Orders, military ID, SSN
Step 2: Submit Documentation
- Upload via Amex app or fax: 1-888-832-6092
- Required: Copy of orders or LES (Leave and Earnings Statement)
- Alternative: Military ID front/back
Step 3: Confirmation
- Processing time: 7-14 business days
- Retroactive: Amex refunds fees from date of activation
- Annual: Must re-certify yearly (automatic reminder)
Pro Tip: Amex is the MOST generous with SCRA. They waive fees, reduce APR to 0%, and provide excellent customer service. Apply BEFORE joining military if possible.
Chase (Standard Process)
Step 1: Secure Message via Chase.com
- Log in → Secure Messages → "SCRA Benefits Request"
- Attach: Copy of orders or military ID
Step 2: Call SCRA Department (Optional)
- Phone: 1-877-469-0110
- Faster processing if you call directly
Step 3: Verification
- Processing time: 10-15 business days
- May require additional documentation
- Fee waiver starts from date of request (not retroactive to activation date)
Warning: Chase is stricter than Amex. Apply while still in ROTC/OCS if possible to maximize retroactive benefits.
Capital One, Citi, Bank of America
General Process:
- Call customer service (number on back of card)
- Request "SCRA benefits department"
- Submit: Orders, LES, or military ID
- Processing: 14-21 business days
Bank-Specific Notes:
- Capital One: Case-by-case basis, not guaranteed for all cards
- Citi: Excellent SCRA compliance, easy process
- Bank of America: Strict documentation requirements
Maximizing SCRA Benefits: Advanced Strategies
Strategy 1: Open Cards BEFORE Active Duty
The Play:
- Apply for Amex Platinum, Chase Sapphire Reserve as civilian/cadet
- Upon commissioning/enlistment, immediately activate SCRA benefits
- Result: $1,245/year in waived fees ($695 + $550)
Why It Works:
- SCRA waives fees on cards opened BEFORE active duty
- You keep all premium benefits (lounge access, credits, status) for FREE
- No need to "earn" the fee waiver through spend
Timeline:
- 3-6 months before commissioning: Apply for cards
- Day 1 of active duty: Submit SCRA documentation
- Within 30 days: Fees waived, benefits active
Strategy 2: Military Spouse Business Cards
The Play:
- Military spouse opens business credit card (Amex Business Platinum)
- Uses spouse's active duty status to claim SCRA benefits
- Result: $695/year waived + business expense tracking
Requirements:
- Spouse must be active duty
- Business must be legitimate (even side hustle qualifies)
- Some banks require spouse as authorized user
Best Cards:
- Amex Business Platinum ($695 → $0)
- Chase Ink Business Preferred ($95 → $0)
- Capital One Spark Miles ($95 → $0)
Strategy 3: PCS Travel Rewards Optimization
The Play:
- Use SCRA-waived premium cards for PCS expenses
- Earn 3-5x points on travel/hotels during PCS
- Redeem for future leisure travel or next PCS
Example:
- E-6 PCS with $3,000 in travel expenses
- Amex Platinum (5x flights + $0 fee) = 15,000 points
- Chase Sapphire Reserve (3x travel + $0 fee) = 9,000 points
- Combined value: $300-$400 in free travel
Pro Tip: Use DTS travel expenses, then pay card immediately with DTS reimbursement for massive points without float risk.
Common Mistakes & How to Avoid Them
❌ Mistake #1: Waiting Until After Activation to Apply for Cards
Problem: SCRA benefits apply to debts/accounts opened BEFORE active duty. If you apply after commissioning, you may not qualify for retroactive fee waivers.
Fix: Apply for premium cards 3-6 months before commissioning/OCS/boot camp. Build credit history first if needed.
❌ Mistake #2: Not Re-Certifying Annually
Problem: Most banks require annual SCRA re-certification. Miss the deadline = fee charged.
Fix: Set calendar reminder 30 days before anniversary. Amex sends automatic reminders; Chase does not.
❌ Mistake #3: Closing Card After Leaving Active Duty
Problem: SCRA benefits end when you leave active duty. Annual fees resume. Many service members panic and close cards, losing valuable credit history.
Fix:
- Option A: Downgrade to no-fee version (e.g., Amex Platinum → Amex Gold → Amex Green)
- Option B: Product change to no-fee card (e.g., Chase Sapphire Reserve → Chase Freedom Unlimited)
- Option C: Keep one premium card if benefits > fee (e.g., $300 travel credit on CSR offsets $250 net fee)
❌ Mistake #4: Assuming All Cards Qualify
Problem: Not all issuers or cards participate in SCRA fee waivers. Discover, for example, is not military-friendly.
Fix: Before applying, call issuer's SCRA department and confirm specific card eligibility.
Action Steps
This Week:
-
[ ] Gather Documentation
- Copy of PCS orders or activation orders
- LES (Leave and Earnings Statement) from myPay
- Military ID (front/back scan)
-
[ ] Call Issuers (Prioritize by Fee Amount)
- Amex: 1-800-253-1720
- Chase: 1-877-469-0110
- Citi: 1-800-950-5114
-
[ ] Submit SCRA Applications
- Start with highest annual fee cards first
- Track submission dates for follow-up
Next 30 Days:
-
[ ] Verify Fee Waivers
- Check next statement for $0 annual fee
- Confirm APR reduction (if applicable)
- Set annual re-certification reminder
-
[ ] Optimize Card Strategy
- Downgrade cards you won't use
- Add spouse as authorized user if needed
- Plan PCS travel to maximize points
Before Next PCS:
- [ ] Maximize Travel Rewards
- Book PCS flights on Amex Platinum (5x points)
- Use CSR for rental car (3x + insurance)
- Redeem points for post-PCS leave travel
Frequently Asked Questions (FAQ)
Q: Do National Guard and Reserve members qualify for SCRA fee waivers?
A: Only when on active duty orders (Title 10). Typical drill weekends do not qualify. Once activated for 30+ days, you can apply for SCRA benefits. Benefits end when orders expire.
Q: Can I get fees waived on cards I opened AFTER joining the military?
A: It depends on the bank. Amex is most generous and will waive fees on cards opened after active duty. Chase is stricter but may approve case-by-case. Always try—worst case is they say no.
Q: What happens to my SCRA benefits when I ETS/separate?
A: Benefits end on your separation date. You have 30-60 days to downgrade or cancel cards before annual fees resume. Plan ahead to avoid surprise charges.
Q: Can my spouse use my active duty status for their personal credit cards?
A: No. SCRA benefits apply only to the service member's personal accounts. However, spouses can open business credit cards and claim SCRA as the business owner if the service member is an authorized user or co-owner.
Q: Do I lose my credit card points if I downgrade to avoid fees after separating?
A: No. Points typically transfer to the new card (e.g., Chase Sapphire Reserve → Chase Freedom Unlimited keeps all Ultimate Rewards points). Confirm with issuer before downgrading.
Q: Which credit card issuer is MOST military-friendly?
A: American Express by far. They waive fees on cards opened before OR after active duty, reduce APR to 0%, provide excellent customer service, and send automatic re-certification reminders. Chase is second-best.
Q: Can I use SCRA benefits to reduce interest rates on credit card debt I had before joining?
A: YES. SCRA caps interest at 4% on ALL debts incurred before active duty, including credit cards. This is separate from fee waivers. Call issuers immediately upon activation to request 4% rate reduction.
Q: Is there a limit to how many cards I can get fees waived on?
A: No official limit, but banks may flag accounts if you open too many cards in a short period. Focus on 2-3 premium cards that fit your spending habits.
Official Sources & Citations
- Servicemembers Civil Relief Act (SCRA) - Department of Defense
- Military Lending Act (MLA) - Consumer Financial Protection Bureau
- American Express SCRA Benefits
- Chase Military Benefits
- Consumer Financial Protection Bureau - SCRA Credit Card Rights
Related Tools:
- TSP Calculator - Optimize retirement alongside credit card rewards
- PCS Planner - Maximize PCS travel rewards with premium cards
- Military Spouse Business Guide - Build side hustle to earn business card bonuses
Next Steps: Use your SCRA fee waivers to fund PCS travel, build credit for VA loans, and maximize military pay with our LES Auditor.