WASHINGTON (9/3/15)--The Consumer Financial Protection Bureau (CFPB) reminded military servicemembers to alert their credit union or other lenders when they are going on active duty.
Deployed servicemembers have options to protect their credit reports when deployed, but according to the CFPB, few take advantage of this resource. The bureau released a fact sheet Wednesday examining ways servicemembers can protect their credit while on active duty.
Military personnel have three options to report that they are on duty, each notifying lenders or other users of credit reports that the person connected to the report is on military duty. All alerts require lenders to take reasonable steps to verify the identity of any individual requesting credit under the servicemembers identity.
The three types of alerts are:
According to the CFPB, more than 650 active-duty servicemembers have submitted complaints to the bureau about their credit reports since October 2012. Less than 1% of those servicemembers reported putting an Active Duty Alert in place before leaving for active duty.
The CFPB also posted a blog entry Wednesday explaining the process for the alerts, as well as other options.