Handling your finances becomes more challenging when you are far from your home. One of the main complaints of military servicemen includes their bills. They do not get their bills on time since they are deployed elsewhere.
When they are late in their payments, they encounter all sorts of banking problems. They are late in their payments – which oftentimes result in a lower credit score among veterans.
A low credit score is usually a bad thing because it hinders veterans from borrowing a low-interest loan. It compromises their access to financial opportunities. It can affect their ability to buy a home, a car, or even set up a business after they complete their active military duty.
This is the reason why military banks are very important to veterans. These banks understand the limitations that make it hard for military servicemembers to commit to their financial responsibilities.
Since veterans and military members require a bank for certain financial products or assist them in financial transactions, it is highly advised that they seek out military banks.
Here are 5 of the best military banks and credit unions that cater to the needs of veterans and active military service members.
This company primarily offers insurance products to veterans and military service members. They have a reputation for having the best customer service among other institutions in the similar industry. They offer auto loans and various bank accounts. The 11 million clients of the bank are usually connected to the military. They enjoy perks like the absence of minimum balances or monthly fees. They also offer reimbursements for those who transact with third-party ATMs – as long as it is still within the country. This makes it an ideal bank for those deployed within the country.
Also known as the PenFed, this military bank makes it easy for military-affiliated individuals to join. You can be considered affiliated even if you join the Voices for America’s Troops or National Military Family Association. When you qualify, you can enjoy a lot of financial products and services like their consumer-friendly checking and savings accounts. The former has a 0.5% annual percentage yield for accounts worth $20,000 and below and 1.01% for those higher than that. You can access your PenFed funds even through Allpoint Network ATMs – without worrying about fees.
If you are looking for military banks that offer the best rates, this is the one that you should consider. Navy Federal is the biggest credit union in the country – thanks to the 5.5 million members who enjoy various financial products and services. The yields for their checking account is at 0.35% – as long as you maintain the $1,5000 minimum balance. They also offer very low-interest rates on their loans. This credit union has ATMs around the world. This makes it a great financial institution for those deployed overseas.
Admittedly, this credit union is not among the popular ones. However, it is noteworthy because of their savings rates. You can expect 0.31% annual percentage yields if you have at least $100 or more. They also offer CD rates of 0.90% on a 12-month certificate (if opened with a $1,000 deposit). They offer various loan products with low-interest rates. Auto loans are available with an interest rate that is as low as 1.39%. Military or veterans can access their funds even through third-party ATMs with a very low access fee. Although they have very strict requirements to qualify, the low rates should be worth it.
SECURITY SERVICE FEDERAL CREDIT UNION
This financial institution has branches in three states – but it is part of an extensive branch network that allows its members to access funds nationwide. You can visit up to 5,000 branches since they are part of the Co-op network. This is apart from the 75 branches situated near military bases. The access of funds become easier regardless of where they are deployed in the country.
Choosing among the many military banks may be confusing. To narrow your option, focus on your financial needs. You can easily decide which among the military financial institutions can be trusted to be your partner in managing your finances.
