Home » Finance

Military Interest Rate Cap - A Heated Issue With Capping Military Loans

Jun 1, 2008
Many military personnel join into the armed forces with the intention of serving the country at a very young age. At this age, they are often immature in terms of handling their financial conditions. With the meager pay that they get, they are often cash-strapped and unable to cater to all the needs of their family. For this purpose, many military personnel opt to apply for loans to overcome the financial difficulties and to own assets like a home.

Being ignorant of the workings of the modern world, they often fall prey to unscrupulous elements who take advantage of them while providing a loan. Often the loan procured by military personnel will be provided at high rates of interest. To safeguard these personnel from such problems, it has been suggested to cap military loans at thirty six percent.

Many a times a poor credit rating and owning fewer assets works against the interests of military personnel wanting to obtain a loan. In order to cater the needs of the family, these people can end up taking loans from the wrong people or agree to a very high rate of interest to be eligible for the loan. Unaware of how such a move is going to affect the already difficult financial status, they often end up in more trouble than they originally started out with.

For this reason, in the year 2007 the Pentagon took up the issue of the need to cap military loans to protect the military personnel from unscrupulous lenders that charge unbelievable rates of interest to loans offered by them. This was approved by the House and the Senate through bills which recommended the interest rates to be capped for all military loans. But, having been approved by both the House and the Senate has proved a difficulty as there is a difference in the recommendations provided by both of them.

It is just a matter of time when these differences will be sorted out and everything should fall in place. But, there are some Congress members that have put in their objections saying that the bill to cap military loans should not be included as a matter of defense and should be taken up as a matter that comes under consumer protection. Such arguments work against the interests of the military personnel who have already been made to face up with many posing circumstances.

With decisions going both ways and with lobbyists working for the lenders trying to quash the bill to cap military loans, it is the military personnel who still have to bear the brunt of still having to face up with high rates of interest that is being charged for loans taken by them. All they can now do is hope that the bill to cap the loans taken by military personnel is passed successfully and the financial burden that is ever increasing because of these high interest rates gets reduced as much as possible to make their lives that much easier and comfortable. They all hope that the nation that they serve so sincerely will not leave them in the lurch.
About the Author
Learn the secrets of military car loans with advanced tips and tutorials on military cash advance loans at http://www.martialloan.com, the top US portal devoted to military personal loan help and resources.
Rating:
Please Rate:
(Average: Not rated)
Views: 137
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources