As part of his Mission Veterans Protected program, Attorney General Andy Beshear is calling on the federal government to better protect Kentucky military families against the onslaught of predatory lenders.
Beshear and a group of state attorneys general are asking the Consumer Financial Protection Bureau to reconsider its reported decision to stop examining lenders to ensure they comply with the Military Lending Act of 2006.
The act protects military service members and their families from exploitative lenders and loans so that they are not overburdened with debt. The bureau has the authority to examine lenders’ compliance with the act to detect potential risks to Kentuckians and ensure that military service members aren’t being offered illegal loans.
Beshear said this is especially important for younger service members who have less experience managing their own finances and may be more vulnerable to predatory loans.
“As attorney general, my mission is to protect Kentucky’s military families from consumer fraud, especially the ongoing deception by predatory lenders,” Beshear said. “We must do everything in our power to ensure our military service members and veterans aren’t bombarded from those who would steal their savings or pensions.”
Beshear said approximately 60 percent of military families report experiencing stress related to their financial condition. Service members in financial distress may have their security clearance revoked and be compelled to leave the military, resulting in the loss of well-trained service members and additional financial burdens for the military.
Beshear created “Mission Veterans Protected” (MVP) aimed at helping Kentucky’s veteran community combat the findings in an AARP study where veterans are twice as likely to fall victim to fraud when compared to nonveterans.
“Mission Veterans Protected” is the latest step Beshear has taken to both stop con artists and help protect veterans.
Most recently, Beshear announced his office joined other states AGs in shuttering the doors of a charity, VietNow National Headquarters Inc., who misled thousands of donors by claiming contributions supported local veterans.
His office also secured federal debt relief for approximately 2,000 Kentuckians, most of them veterans, who were victimized by predatory practices by Corinthian Colleges Inc.