This new policy, however, does not affect Soldiers in Basic Training, AIT and Soldiers with less than one year time in service.
In addition, AER financial assistance will continue to be available through the Command Referral Program which provides Company Commanders and First Sergeants the authority to approve up to $1,500 in interest free loans.
Previously, Soldiers went through a review process through their chain of command before they were granted AER funds.
“Our experience over the past several years has clearly shown that Soldiers have been reluctant to request financial assistance through Army Emergency Relief due to the perception of a time consuming and intimidating review process involving the company/battery level chain of command” said AER Chief of Assistance, Charles Durr, Command Sergeant Major, US Army Retired.
“As a result many young Soldiers have gone to non-bank lenders to respond to their emergency financial needs. These organizations often charge excessive fees and interest rates causing Soldiers to take on debt that they will be stuck with for years,” added Durr.
Soldiers with financial problems, significant debt or a history of personal financial mismanagement will continue to be referred to their unit chain of command and installation financial counselors for guidance and support.
Army Emergency Relief is a private non-profit organization dedicated to providing financial assistance to Soldiers, active and retired, and their Families. Since its incorporation in 1942, AER has provided more than $1.7 billion to more than 3.7 million Soldiers, Families and Retirees.
For more information, or to make a donation, visit www.aerhq.org .
Army Emergency Relief press release originally published at www.aerhq.org .