“No duty is more urgent than that of returning thanks.”
— James Allen
During May, the Tennessee Credit Union League would like to join in acknowledging the brave men and women who serve and protect our country for National Military Appreciation Month.
Observed each year, National Military Appreciation Month offers a time to honor all service members – past and present – of the United States Armed Forces. While intended to recognize the military community for their service and sacrifice, Military Appreciation Month also provides an opportunity for fostering awareness and understanding of the current challenges affecting service members and their families.
With that in mind, credit unions should take this time to understand the financial challenges experienced by service members to ensure we are observing their needs not just one month of the year, but all year long.
According to a 2024 financial literacy and preparedness survey conducted by the National Foundation for Credit Counseling (NFCC), “military households (service members and military spouses) are more likely than the general population to experience financial strain, utilize non-traditional financial services and have a strong desire for professional financial guidance.” Research revealed, among other highlights, that military households were more likely to
- Report financial difficulties, such as dipping into savings to pay for daily expenses or increased spending on credit cards;
- Use potentially risky non-bank financial services like payday loans, prepaid debits and cryptocurrency as compared to civilians;
- Have a high rate of cryptocurrency use as compared to the general population (27% and 28 vs, 11%, respectively); and
- Experience higher prevalence of behaviors indicating financial stress, such as missed credit card payments (20% and 15% vs 8%, respectively) or transferring debt between cards as compared to civilians (23% and 14% vs 7%).
Despite their overall challenges, military families still considered their knowledge of financial literacy as satisfactory, although they strongly agreed they could benefit from professional advice regarding everyday financial questions.
Additionally, due to frequent relocations, deployment and potential changes in income, service members encountered various challenges as a result of their work. According to Blue Star Families, “for most active-duty family respondents, relocation expenses [can] take 12 or more months to bounce back from financially.” In a 2024 survey conducted by the charitable organization for military families, results revealed:
- Military pay ranked a top issue for 46% of active-duty families, especially critical for enlisted families (58%);
- Relocations exacerbated financial strain, as 70% of families reported out-of-pocket expenses exceeding $500; and
- Rising housing costs further stressed budgets, with only 37% finding housing within their Basic Allowance for Housing.
Credit Unions Are Uniquely Positioned to Help Military Families
As we consider the unique financial challenges confronted by military families across the country, we should remember that credit unions are uniquely positioned to support our military communities. With our member-first philosophy and community-conscious focus — people helping people — credit unions are more than just financial institutions but allies on the financial frontlines. From financial counseling, workshops to lower loan rates, our credit unions are capable of offering a variety of resources and benefits that can make a meaningful difference in our military families’ lives.
This May, as we recognize the courage and sacrifice of the brave men and women who protect and serve our country, let’s think about the ways we can defend the financial futures of the more than 400,000 active-duty personnel, reservists, National Guard members and veterans in the state of Tennessee. Whether through tailored workshops, one-on-one counseling or exclusive member deals, our credit unions are well-positioned to play a vital role in supporting our military community.
