Team Infidel
Forum Spin Doctor
CNN
June 9, 2008 Issue Number One (CNN), 12:00 PM
ALI VELSHI: Well, we've talked a lot on this program about how folks in the military and their families are struggling. It appears that the military is recognizing what's going on and now has an important tool to help military families deal with credit issues and mortgage problems.
CNN's Barbara Starr is live right now at the Pentagon with that.
Barbara, this is obviously issue #1, but for the troops, they are certainly not immune to the credit crisis. What is the military doing now?
BARBARA STARR: Well, absolutely right, Ali. Just think of it this way -- you know, many of them thousands of miles away on the front lines in the war. And how do you manage family finances and $4 a gallon gasoline when you're so far way from your family?
The military is really stepping up with a Web site they've had going on for some time called militaryonesource.com. Now, really focusing that Web site on some of these critical issues for the young troops, and really for everybody.
It's designed so you can log on from Iraq, from Afghanistan, your families can log on from home. And you can go through this Web site and really look for tips on saving fuel, looking at finances, look at the mortgage market, and other consumer tips.
But we went further into this Web site and logged on to the special money page, and that allows troops and their families to put in their own financial family situation in and try and calculate what their finances are looking like. Are they overcommitted on their credit? Can they really afford to buy a new house? Can they afford a new car? What are the danger signs in their credit situations when they plug in their expenses, their monthly paychecks, all of that?
Probably a good lesson for all of us, but it's really aimed at the troops. You know, think about the military, Ali. It probably is the most heavily regulated employment market. Once you're in, you're in until your enlistment term is up.
VELSHI: Right.
STARR: And when your expenses go up, what can you really do about it? So they're really trying to get a handle on it and to get these young troops to recognize where they can go for help -- militaryonesource.com is a place they can start -- Ali.
VELSHI: And probably having good information and those calculators that you were showing on air, that's helpful for most people as a starting point. Maybe it's half of the battle.
Are there any particular tools that the military's providing for them to actually then go to the next step and say, how do I reduce my debt or somehow deal with my financial crisis?
STARR: Right. The major thing, as we have discussed, is they want them to get help early. No one wants them to go to any of these predatory lenders and get themselves in even deeper problems.
But, you know, what we are beginning to hear is for the military, the housing and mortgage crisis is somewhat unique. Think about this -- military people generally move every three years. For these people, if they bought a house three years ago at top of the market, and now they have new orders to go to another military base, they're having trouble selling their houses. So some of them are running into problems that way.
And military people who might be renting houses may be finding themselves living in a property that's about to be foreclosed on.
VELSHI: Wow.
STARR: So, the basic idea here -- well, I'm hearing a lot about that kind of problem, by the way -- the basic idea is to put as much information out there, get help. And they are beginning to look at whether they might need to adjust pay scales or even moving allowances to help people get through this tough time -- Ali.
VELSHI: Barbara, yes, interesting. You don't think about the fact that they have a limited area in which they can live, where they can sell their home, and they can buy. So a unique look at the housing crisis.
Barbara, thank you very much for that.
STARR: Sure.
June 9, 2008 Issue Number One (CNN), 12:00 PM
ALI VELSHI: Well, we've talked a lot on this program about how folks in the military and their families are struggling. It appears that the military is recognizing what's going on and now has an important tool to help military families deal with credit issues and mortgage problems.
CNN's Barbara Starr is live right now at the Pentagon with that.
Barbara, this is obviously issue #1, but for the troops, they are certainly not immune to the credit crisis. What is the military doing now?
BARBARA STARR: Well, absolutely right, Ali. Just think of it this way -- you know, many of them thousands of miles away on the front lines in the war. And how do you manage family finances and $4 a gallon gasoline when you're so far way from your family?
The military is really stepping up with a Web site they've had going on for some time called militaryonesource.com. Now, really focusing that Web site on some of these critical issues for the young troops, and really for everybody.
It's designed so you can log on from Iraq, from Afghanistan, your families can log on from home. And you can go through this Web site and really look for tips on saving fuel, looking at finances, look at the mortgage market, and other consumer tips.
But we went further into this Web site and logged on to the special money page, and that allows troops and their families to put in their own financial family situation in and try and calculate what their finances are looking like. Are they overcommitted on their credit? Can they really afford to buy a new house? Can they afford a new car? What are the danger signs in their credit situations when they plug in their expenses, their monthly paychecks, all of that?
Probably a good lesson for all of us, but it's really aimed at the troops. You know, think about the military, Ali. It probably is the most heavily regulated employment market. Once you're in, you're in until your enlistment term is up.
VELSHI: Right.
STARR: And when your expenses go up, what can you really do about it? So they're really trying to get a handle on it and to get these young troops to recognize where they can go for help -- militaryonesource.com is a place they can start -- Ali.
VELSHI: And probably having good information and those calculators that you were showing on air, that's helpful for most people as a starting point. Maybe it's half of the battle.
Are there any particular tools that the military's providing for them to actually then go to the next step and say, how do I reduce my debt or somehow deal with my financial crisis?
STARR: Right. The major thing, as we have discussed, is they want them to get help early. No one wants them to go to any of these predatory lenders and get themselves in even deeper problems.
But, you know, what we are beginning to hear is for the military, the housing and mortgage crisis is somewhat unique. Think about this -- military people generally move every three years. For these people, if they bought a house three years ago at top of the market, and now they have new orders to go to another military base, they're having trouble selling their houses. So some of them are running into problems that way.
And military people who might be renting houses may be finding themselves living in a property that's about to be foreclosed on.
VELSHI: Wow.
STARR: So, the basic idea here -- well, I'm hearing a lot about that kind of problem, by the way -- the basic idea is to put as much information out there, get help. And they are beginning to look at whether they might need to adjust pay scales or even moving allowances to help people get through this tough time -- Ali.
VELSHI: Barbara, yes, interesting. You don't think about the fact that they have a limited area in which they can live, where they can sell their home, and they can buy. So a unique look at the housing crisis.
Barbara, thank you very much for that.
STARR: Sure.