Debt Help for Military Spouses Spouses of active members of the military can get help paying their bills and loans under the Servicemembers Civil Relief Act. The law caps credit card and mortgage interest rates while on active duty and provides protections against eviction and foreclosure.

How do military pay off debt?

Other strategies that could help military families eliminate debt include:

1. Set short-, medium- and long-term financial goals.
2. Set up a budget and live by it.
3. Save a portion of earnings every month; save a larger portion of bonus or tax-free pay.
4. Establish an emergency fund.
5. Keep credit card spending to a minimum.

What happens to my bills when I join the military?

Believe it or not, your bills for your cellphone, internet, rent and car still need to be made when you’re at basic training. If you neglect any bills, they most likely will go to collections. Many jobs in the military require a secret security clearance.

Can the VA help with debt?

Having a VA Loan qualifies you for a Military Debt Consolidation Loan (MDCL), also known as a VA Consolidation Loan that can help you overcome financial difficulties. The VA is a guarantor for refinancing your loan, but the new loan value can’t exceed the appraised value of your home.

Are there any debt consolidation programs for the military?

If you are looking for a military debt consolidation program, InCharge’s debt management program may be a good fit for you. With this program, you can consolidate your debts without taking out a new loan. Our online credit counseling tool will help you determine if you qualify.

Can a Veterans Home Loan be used for debt consolidation?

Veterans have a few options when it comes to consolidating debt as well. The first option applies only to Veterans who own their home with a VA home loan. If you went through the VA to get a mortgage you are eligible to use a Military Debt Consolidation Loan.

What kind of debt consolidation loan do I Need?

#1: A Military Debt Consolidation Loan (MDCL) is a home equity loan There are two types of debt consolidation loans. An unsecured debt consolidation loan requires no collateral, so the loan is extended to you in good faith based on your credit score and financial situation.

How does MDCL work for medical debt consolidation?

The MDCL operates on the same premise as a regular debt consolidation loan: take out one loan to pay off all unsecured debts, such as credit cards, medical bills, payday loans, etc. and make a single monthly payment to one lender rather than multiple loan repayments to multiple creditors.