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American Express Personal Loan for Active Duty MIlitaryAmerican Express offers a $3500 to $40,000 personal loan to active duty US military servicemembers with 0% interest for up to 3 years.

The interest rate is initially set at whatever rate your credit score qualifies you for. However, after you apply for Servicemember Civil Relief Act (SCRA) benefits to be applied to your AMEX loan, the interest rate drops to 0%.

You must be an American Express Card Member before you are eligible for the loan. If you are a military servicemember with good to excellent credit, I recommend the Platinum Card from American Express (learn more about the card here).

The AMEX Platinum is my top recommended card because:

  • Annual fee of $550 is waived for US military
  • 60,000 point welcome bonus offer
  • $200 annual Uber Credit
  • $200 annual airline fee credit
  • Centurion and Priority Pass lounge access for free

You can learn more about AMEX SCRA benefits on credit cards, including how to get your annual fees waived on all AMEX cards.

How to Get the Military AMEX Personal Loan

Go to AMEX website and click the box in the upper right hand corner to “Check Your Rate.” If you already have an AMEX account, you'll be asked to login and then your rate and loan amount will be presented to you. I was only offered $25,000 at 8.98% interest, but many troops are offered the full $40,000 amount.

The offer is pre-approved so there is no impact to your credit score to apply. There may be an small effect (positive or negative) to your credit score if you take the loan out, as AMEX will report it to the credit bureaus.

AMEX distributes the funds to your bank account within 3-5 business days after you apply. You can also have the loan amount directly post to any credit cards you need to pay off. This is a great way to consolidate your debt and stop being in debt.

As soon as you receive confirmation that your application was successful, call the American Express Military Hotline for SCRA Personal Loans at 1-800-253-1720 or 1-336-393-1111.

Ask for your loan to be reviewed for SCRA military benefits. Be polite and courteous! They may take a few days to review your account and then send you an email.

AMEX Personal Loan for Military SCRA Waived

I've received two data points now about the interest free AMEX personal loans for active duty. Here's what my buddy Dan messaged me in October 2018:

A friend clued me into this, and it worked: Just got a $40k personal loan from Amex, originally for 5.98% interest (36 months). Applied for SCRA benefits (I’m active duty military) on another Amex product (new SPG Luxury) and got this msg from Amex today:

To support the men and women who serve in the United States Armed Forces, we are handling your loan referenced above in accordance with the Servicemembers Civil Relief Act (“SCRA”).

The SCRA provides for a maximum annual interest rate of 6% per year on loans you received before starting active military duty. However, at this time we have chosen to reduce the interest rate on your SCRA eligible balance to an Annual Percentage Rate (APR) of 0.00%.

We have issued credit for the full amount of applicable interest charges and fees to your loan account. This amount will appear as a credit(s) on your loan invoice. The total interest charges and fees you have already paid will be returned to you in the form of a check under separate cover. The check amount will appear as a debit on your loan invoice and will be offset by our credit(s). In addition, we will waive any future late payment and returned payment fees for the duration of your active military duty.

Beginning with your next loan invoice and thereafter, your new Monthly Payment will be $1111.11. We have also adjusted any monthly payment(s) previously billed but not yet paid, to reflect the new Monthly Payment amount.

If you are currently enrolled in AutoPay for this loan, your future AutoPay amount will reflect the new monthly payment amount above and no additional action is required.

If there are any additional accounts you would like to be reviewed for SCRA relief, please call us at 1-800-253-1720. If you are outside the United States, please call us collect at 1-336-393-1111. We are grateful for the service and devotion you have shown to our country.

Sincerely, American Express Customer Care

The other data point I have is from a guy at work buying stocks on margin using personal loans. Don't be that guy. However, he also had a 0% interest rate loan after applying SCRA benefits. He set up himself up to lose his shirt and $100,000+ during the next down turn.

Pre-Approved Loan Amount Monthly Payment at 0% Interest
$40,000 $1111.11
$25,000 $694.44
$10,000 $277.77

What To Do With a No Interest Military AMEX Loan

While taking on dumb debt is never a good idea, a 0% interest loan paid back over 3 years presents some interesting opportunities. This is definitely a better deal than a payday loan or even the USAA Career Starter Loan.

Borrowing to invest almost never makes sense, but if you can borrow at 0% and get a guaranteed 10% return in the Savings Deposit Program, why wouldn't you borrow?

At 0% for 3 years, you have a few options:

The AMEX Personal Loan is an amazing opportunity to get yourself out of debt without accruing additional interest along the way. This is a rare opportunity to out yourself in a better position 3 years from now than you are today.

If you are on the path to financial independence (FI), your debt is an emergency. You need to pay it off ASAP and start investing in appreciating assets that can eventually replace your active income with passive income. The sooner you get out of debt, the closer you are to FI.

I'm sure there are some other ideas I'm not thinking of. Let me know in the comments how you would use $40,000 at 0% interest!

AMEX Personal Loan for Active Duty Military: 0% Interest for 3 Years

AMEX Platinum With NO Annual Fees for US Military

Military SCRA MLA AMEX Platinum

Military servicemembers and spouses can get the American Express Platinum (learn more here) with NO annual fees. 

Learn more about this military fee waiver.

The AMEX Platinum offers:

  • $550 Annual Fee WAIVED for US Military (and spouses)!
  • 60,000 Membership Rewards Points welcome offer
  • $200 credit for Uber rides (or Uber Eats!) annually
  • $200 airline fee credit
  • Centurion Lounge and Priority Pass Airport Lounge Access
  • NO foreign transaction fees

These benefits make it my top recommend card.

If you already have an AMEX Platinum card, check out the other AMEX cards and Chase credit cards with no annual fees for US military personnel.

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12 thoughts on “AMEX Personal Loan for Active Duty Military: 0% Interest for 3 Years

  • October 9, 2018 at 21:40

    With so many restrictions in the terms such as “You agree that you will not use your loan to pay for post-secondary education expenses, for real estate, for business, for securities, for vehicle purchases (other than as a downpayment) or for any purpose prohibited by law or not otherwise permitted under this Loan Agreement.” it is hard to use it for an advantage, unless I am missing something? *I know credit card payment is #1, but what else?

    • October 9, 2018 at 23:55

      You should follow the terms and conditions, but once you have received the cash from the loan in your checking or savings account, there is really no way for them to track how you use the loan.

  • October 8, 2018 at 15:52

    Here’s the message I just received when I tried to apply for the personal loan. I’m currently stationed OCONUS, not sure if that has anything to do with it or not.

    “At this time, we do not have any pre-approved offers for a personal loan available to you. Pre-approved offers are based on creditworthiness and other factors and are subject to change over time.
    We apologize for any inconvenience. Thank you for your interest in American Express Personal Loans.”

    • October 8, 2018 at 18:15

      I am OCONUS and was pre-approved. What is your credit score? How many cards do you have with AMEX?

    • October 9, 2018 at 21:49

      775 credit score. 5 AMEX cards.

      • October 9, 2018 at 23:54

        I’m not sure. With that credit score and history of AMEX accounts you should have no problem. I would try calling AMEX and seeing if they can manually review your account if you are still interested in the loan. I am OCONUS and have an APO, AE address on my AMEX profile and was pre-approved.

  • October 7, 2018 at 14:26

    anyone have success with spouse???

    • October 7, 2018 at 22:12

      My guess is no, as the zero interest offer is being offered under AMEX’s interpretation of the SCRA law, which only applies to the servicemember, not any dependents/spouses.

  • October 7, 2018 at 10:26

    Awesome find. I’m using it to fund some checking/savings account bonuses for awhile and then I’ll probably just invest the rest into my normal brokerage account and backpay the loan with the money that I normally invest each month. I told another friend who is going to use it to renovate his basement.

  • October 7, 2018 at 09:02

    Wow, 1. need to consider amex for personal loans even if non-military and 2. stick that into a 3% bank account with autopay– that’s several grand of free money from amex…

  • October 5, 2018 at 08:37

    This is fantastic! I was pre-approved for $25,000 with a maximum APR of 5.98%. I took a loan for a lesser amount and will use it for a down payment on a house. The lady I spoke to at AMEX put in a request for someone to review my personal loan under the SCRA. The call from start to finish took nine minutes and about 3-4 minutes I was waiting to be connected. I just answered a few questions so they can verify my service. She said it could take up to 60 days to get a response back. Hopefully, it goes a lot sooner than that. Hoping for 2-3 days!

    Side note: I’m wondering if I can do this again in three years. It would be pretty awesome to continually take interest free loans every three years. This can really help jump start some things!

  • October 4, 2018 at 19:48

    Thank you for this post! Never knew about this.


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