Navy Captain Mark Patton is the Commanding officer at Point Loma in San Diego. He says the number one reason soldiers or sailors can’t deploy is a lack of security clearance – and often bad credit is the culprit:
“Between 2000 and 2005 revoked or denied security clearances have increased 1600 percent due to financial indebtedness problems.”
He blames lenders who he says prey on young, financially inexperienced troops. At an informational hearing, he asked legislators to strengthen laws against such scams. But Dennis Brassford – CEO of payday lender Moneytree- says they’re not targeting troops, and people benefit from the loans:
“You cannot explain the demand for this product by irrational and uninformed consumers. It's too widespread - the demand. It's across the country."
Lawmakers pledged to look into legislation to protect the military.