With Memorial Day fast approaching, I’d like to thank those who have paid the ultimate sacrifice for America. I would also like to remember and thank all of our veterans, active duty service members and their families on this very special weekend.
For the other 364 days of the year, more than 72 credit unions across the country, with a specific field of military membership, are serving our servicemen and women when they need help with their finances.
Beyond these military credit unions, others in the US serve 1,429,995 active members of the Navy, Marine Corps, Air Force, and Army who maintain a gap between financial literacy and those who actually have a personal relationship with a credit union or bank. To further complicate the problem, the majority of military personnel are millennials, who do not trust financial institutions very much.
Life is not easy for members of the armed forces. They are often on the go, working abnormal hours, traveling or even living abroad. This makes simple financial transactions such as ATM access, deposits and money transfers extremely difficult. These young military men and women face unique financial challenges and are prime candidates for credit union membership.
• 27% of service members have credit card debt in excess of $10,000. That compares to just 16% of civilians.
• Military spouses maintain a 26% unemployment rate and earn 25% less than non-military spouses.
How can credit unions help this segment of the population?
• Offer military-specific credit cards and lower rates for consolidation loans.
• Provide financial products that offer specific incentives for smart money management behaviors.
• Offer first-time vehicle purchase discount programs for military families with little or no credit.
• Provide educational seminars for home buying, investing, and retirement.
• Promote financial counseling programs to teach military members about credit reports and credit history, and personal money management.
• Maintain payroll deduction services to help staff pay loans directly from salary or pensions.
• Hold business meetings and career counseling to support service families in your area.
• Discounts on services and even theme park tickets are offered as a way of saying “thank you for your service.”
If you’re a veteran or military spouse considering starting a small business, consider joining a credit union for your banking needs. They offer amazing perks for small business owners and since they are owned by their members, they always act in the best interest of their members.
Obviously, there are many credit unions across the country that are assisting the financial needs of the US military. Your service to the military is not just about business. It’s about providing outstanding financial products and services that our nation’s heroes deserve.