Since 9/11, many of our troops are deployed for overseas active duty. They often leave behind a family in need of financial assistance. Loans for the military applications through the Internet have become the method of choice. It is private, secure and fast.
The average salary for the majority of active military is between the $17,000 to $30,000 income range, An E-3 (one of the lower ranks), married with one child, after base pay and other allowances has no money left at the end of the month. At $17,000 income per year, bi-weekly net pay is approximately $600. If regular expenses for food, utilities, health care, etc., are $500, then that leaves $100 in disposable income per paycheck. This is when the soldier turns to a loan for military.
Many are young, typically without a lot of experience in managing finances, and without a cushion of savings to help them, even through military pay is regular and secure. Those borrowers are not likely to be downsized, outsourced or quit. Also, the military culture emphasizes financial responsibility. The consequences for not repaying debt can be confinement, court martial, loss of security clearance, and discharge. Against that backdrop, threats to contact the base commander can be a very effective collection tool.
Many banks offers Veteran Administration Loans to all qualified veterans, active duty, reserves, guaranteed by the Department of Veterans Affairs and are subject to federal guidelines. Usually they offer VA loan with a variety of payment terms. These loans must be used to purchase or refinance owner-occupied homes. Your loan officer will work with you to complete the required VA paperwork and find the loan which is right for you. |
