Monday, July 13, 2015

Military Families Pay Financial Price for Service


Survey: Military Families Carry More Debt, Have Fewer Assets Than Civilians


Many members of the U.S. armed forces pay a financial price for their service to the country, often carrying higher credit card debt and owning fewer assets than civilians, a new survey shows.

The survey done for the National Foundation for Credit Counseling (NFCC) found that veterans and active duty personnel and their families often face unique circumstances, such as frequent relocation and deployment, which can put a significant strain on their finances.

"This is a serious problem," said Susan Keating, NFCC president and CEO. "The issue of financial stability for those who serve our country is a real concern."
The NFCC survey looked at people who took part in the foundation's Sharpen Your Financial Focus program to deal with debt. They found that when compared to all the participants in the program, the average military family had:

  • 7 percent higher unsecured debt balances, or $400-$500 more than the average.
  • 16 percent fewer tangible asset ($11,000 less).
  • 15 percent higher monthly debt-related expenses ($200 more).
"I think this higher-than-average burden of debt leads to some significant financial constraints on these military households," said Stephen Roll, an Ohio State University researcher who analyzed the data for the NFCC.

And with the continued reduction in forces, the situation may get worse, as more service members try to find civilian jobs.

Full article available here: Military Families in Debt

Source: NBC News

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