SGT and above can request for an AER Loan without 1SG or Commanders knowledge.

2014-01-04T20:58:39-05:00

What are your feelings on this? I personally disagree with the decision as Soldiers may use this as the first option, I normally would sit a Soldier down and discuss the situation and see if we can find a resolution. I agree that the AER program is a great system as it assists Soldiers in the time of need, but as a leader I would like to know before a Soldier goes and applies for the loan.<div><br></div><div><br></div>

Response by SSG Robert Burns made Jan 4 at 2014 9:00 PM

2014-01-04T21:00:23-05:00

1SG where is this coming from. Has something changed? As far as I know about the AER process, the Commander/1SG has to sign the application. Also they recommend whether or not it should be a grant or not.

Response by SFC Michael Hasbun made Jan 4 at 2014 9:23 PM

2014-01-04T21:23:22-05:00

I'm actually OK with this. At some point we need to trust people to be grown ups, and handle their business. We don't need to micromanage every facet our Soldiers' lives. If someone is too untrustworthy to seek assistance on their own, then frankly why did you promote them to the ranks of the Non Commissioned Officer Corps? You either trust them to be a mature professional, or you don't.

Response by SPC Christopher Smith made Jan 4 at 2014 9:31 PM

2014-01-04T21:31:00-05:00

If I have to be treated like a child when I have a financial emergency situation EVERYONE should, E1-O10. I am an adult am I not? If anything higher ups should have to get permissions anyway, because you have had more then enough time to put money aside for emergencies.

Response by SFC Robert Trodahl made Feb 18 at 2014 3:24 PM

2014-02-18T15:24:09-05:00

I still see the need for the C.O.C to be informed. They are responsible for him/her on and off duty and to assist where they can.

Response by SSgt Gregory Guina made Feb 18 at 2014 3:39 PM

2014-02-18T15:39:45-05:00

We don't require them to get loans from a bank or from a payday lender why make them get one for a loan from AER.

Response by SSG Private RallyPoint Member made Feb 18 at 2014 4:02 PM

2014-02-18T16:02:04-05:00

I have been on the recieving end on an AER loan, it helped. It helped MORE that the Chain of Command knew and understood my position. It became a matter of seeking the appropriate level of help that AER provides.

My situation was one of equal parts my own doing and getting slammed with an erroneous legal charge that required a good sum of money I didnt have saved.

Having that all be understood by the chain of command helped me get back on track and allowed the command to assist when needed (counseling and mentorship). We as NCO's are never above the need for quality mentorship, this made me a more aware leader and having gone through the process myself and having to look at myself and my habits has made me a more financially sound person as a whole. Additionally the process with the Chain of Command also puts a check in place to ensure the SM uses all of the available tools that are involved with the AER process to include a one on one finacial counseling with the AER staff that really digs deep into the financial side of your life and helps you put a plan togather to get you out of you debt and they check up on you periodically.

Conversly, having the Chain of Command involved can also identify irresponsible leaders who do not take the necessary steps to correct their situation. Poor decisions in the personal side of a leaders life can and will bleed over into the professional side and that leader will no longer be an asset.

Response by CSM Private RallyPoint Member made Feb 18 at 2014 9:18 PM

2014-02-18T21:18:43-05:00

Regardless if we like it or not it's still a lot better than soldiers running to Omni or Pioneer and getting a 29.99% loan. I think if vetted properly though a unit's command financial specialist to ensure the soldier asking for the AER loan isn't stretching themselves thinner by applying, then who cares who signs the approval to help the trooper out. 

Response by MAJ Private RallyPoint Member made Feb 20 at 2014 3:57 AM

2014-02-20T03:57:00-05:00

Bottom line on this one, it isn't about and shouldn't spark an investigation for an NCO who might need some extra help!  As already mentioned, it will occur with or without AER via some high percentage payday loan org. However, the total Soldier Concept comes into play in that leaders who are engaged know what is going on within their ranks so it shouldn't be a surprise when someone has an emergency.  It is a request form that requires a simple signature of approval, much like the HHT or HHQ Company Commander signing the BN or BDE Commander's leave form!  Checks and Balances need to occur to keep the honest brokers honest!  It is not a bad thing to have someone approve a form, heck it might even be that your Commander may have alternate methods of helping resolve the issue with other resources!  <div><br></div><div>On the flip side , I wouldn't find this alarming for NCOs above Sergeant First Class to conduct business on their own if it is approved for them to do so!  We need to trust and build our NCO Corps up as responsible professionals!  I certainly don't counsel Senior NCOs/Junior Officers the same as I would someone that has not earned the same level of responsibility!  So I wouldn't expect my supervisor to care much about my financial situation so long as it doesn't interfere with my mission or responsibilities!  However, I still have to submit my LES with my leave form which is another check and balance!  </div><div><br></div><div>As a former company commander, I had an NCO who wanted to cut corners and began formulating their own memorandums with their signature block to process Soldiers through certain installation procedures or clearing without orders, etc!  I found out when I began receiving phone calls from all over the installation!  So it goes to show that abuse can exist if there are not proper systems in place to prevent it from occurring!  </div>

Response by SSG Private RallyPoint Member made Feb 20 at 2014 4:35 AM

2014-02-20T04:35:32-05:00

As an NCO I have used AER a few times and I have always let my COC know why I am barrowing money. If you want to combat bad decisions while helping your SMs get a financial class taught by one of those AER specialists we did in Hawaii and people reacted better because it wasn't being taught by some SNCO or Officer. Good financial planning is NCO business as long as that NCO isn't jacked up and teaching Soldiers their bad habits. We as NCOs should always look at how can we lift each other not how to control a situation after each one is different.

Response by SGT Javier Silva made Feb 20 at 2014 12:46 PM

2014-02-20T12:46:04-05:00

Honestly, the Army is already your boss and your loan officer at the same time when you get an AER loan. You ask, how is this possible? The Army Vice Chief of Staff and the Command Sergeant Major serve on the Board of Managers. I know that CNO is the Chairman of the Board of Directors on the NMCRS, along with the SgtMajMarCor serving as a member. Yes, the CMSAF serves on the board for the Air Force Aid Society. What I'm trying to say is - I think that ANY person trying to get a loan from AER, NMCRS or AFAS should get their command approval.

I can say is that before you get ANY loan is look at how it will affect your career. I was prior Navy and worked as a Security Yeoman with Patrol Squadron EIGHT (VP-8), when they were stationed in NAS Brunswick, ME (before BRAC). We had one Sailor who had financial issues and received a "Letter of Intent" and had his clearance revoked. He took care of the issues; however, his clearance was still denied by CCF. He appealed to the Administrative Judge and he too denied his clearance.

However, after saying all this, I do want to say the following:

This is the policy of AER. The Command team of ANY unit can still require Soldiers to get Command approval prior to applying for an AER loan.

Response by SGT Javier Silva made Feb 20 at 2014 1:02 PM

2014-02-20T13:02:02-05:00

However, after saying all this, I do want to say the following:

This is the policy of AER. The Command team of ANY unit can still require Soldiers to get Command approval prior to applying for an AER loan.

Response by 1SG Private RallyPoint Member made Feb 20 at 2014 1:05 PM

2014-02-20T13:05:19-05:00

SGT Cepero,

If you are checking their end of the month LES during counseling sessions you will be able to see those types of things.

I don't see any issue it is better than getting a payday loan.

V/R

1SG Haro

Response by SSG Private RallyPoint Member made Feb 23 at 2014 12:49 AM

2014-02-23T00:49:05-05:00

I am currently a Command Finance NCO that works with ACS. I do all the paperwork that is requested for an AER loan. AER is a private nonprofit organization incorporated in 1942 by
the Secretary of War and the Army Chief of Staff. AER's sole mission is
to help soldiers and their dependents.

"Based on the feedback we received from senior Army leaders, including the Sergeant Major of the Army, we decided that this is the right thing to do," said AER Director, Lt. Gen. Robert F. Foley, U.S. Army, Retired.

“Over the last decade, these leaders have been entrusted with increasing levels of responsibility and have demonstrated the required trust and confidence to warrant this change." When a Soldier goes in with the form for an AER loan. The AER officer has to have proof of what the Soldier is in need of. They are also suppose to do a budget to see just where this person is out with their money. They have the sole ability to say yes or no to the loan not the chain of command.

On the other hand, Squad leaders, Platoon Sergeants and so forth should be looking at their Soldiers LES's anyways. I don't totally agree with this change from AER myself either but what's done is done. As a CFNCO I inform the chain of command that their Soldier has come to me with an issue.

The problem is that we are trained to fight and whatever our specialty is but no one sits down with these young Soldiers and explains a budget is important, why having an emergency fund will keep them from needing loans and that living within their means can lead to a better life in the long run. I have found that a lot of leadership do not have the correct knowledge of financial management and you expect them to go to the leadership. This is one of those issue where everyone is either against it or for it. If this is an issue you feel compassionate about, get involved with your Soldiers and if you do not have all the answers then send them to the people who do this for a living. Maybe learn something yourself.

Response by SFC Private RallyPoint Member made May 20 at 2014 9:08 AM

2014-05-20T09:08:30-04:00

I think its one of the best ideas the army had come up with. It keeps Soldiers from going off post and paying 30 percent on a payday loan.

Response by SGT Ben Keen made May 20 at 2014 10:46 AM

2014-05-20T10:46:04-04:00

I don't like the idea of tiptoeing around the Chain of Command. Sure, this is a lot better than a Service Member going out to somewhere off base and getting hit with a crazy interest rate, the command should at least have knowledge of what is going.

Response by LTC Private RallyPoint Member made May 20 at 2014 12:20 PM

2014-05-20T12:20:21-04:00

1SG ESSIG: I agree with you that soldiers should be required individual counseling or mentorship from their chain-of-command as a condition for applying for an AER-Loan. Financial management is an important retention tool for senior NCO & Commanders, resulting in increased deployment readiness and ultimately mission capabilities.

Response by SSG Private RallyPoint Member made May 25 at 2014 2:23 AM

2014-05-25T02:23:18-04:00

I understand your point of view and unfortunately there are not Command Finance NCO's at every post to make this easier on the commands but, it does give some Soldiers confidence that they are not going to be ridiculed by their command. I have seen it first hand and it only makes Soldier go off post to a payday lender. If you want to keep a finger on the pulse of the Soldiers, then get the squad leaders and platoon sergeants more involved.

Response by SSG (ret) William Martin made May 27 at 2014 1:21 AM

2014-05-27T01:21:16-04:00

I don't think its a bad idea if a SGT/E5 can use AER without their approval. AER has counselor who should oversee the processing of the loan. I personally don't want anyone in my CoC or NCO support channel in my financial business. I once needed an AER loan for $500. I started the loan processes and when I had to fill out my personal finance in great detail I threw the paper work into the shredder. I ended up gathering up the money I needed and instead of spending that, I put a loan against it for 2.6 percent interest. It will be paid off in 6 months 30 months early.

Response by SSG Private RallyPoint Member made May 28 at 2014 12:22 PM

2014-05-28T12:22:42-04:00

I personally think this is a horrible idea. Achieving a certain rank does not mean that you instantly master the art of being 'financially responsible'.
Although these loans are not large dollars amounts, command knowledge is important. The situation could be a potential indicator to other underlying personal finance issues. Command knowledge can amd will help ensure these issues can be addressed before they escalate.

Response by CPT Jacob Swartout made Jul 17 at 2014 10:33 PM

2014-07-17T22:33:48-04:00

My only concern is that some Soldiers believe that AER will approve any request. Many Soldiers have to be reminded that it is for emergencies only, hence "Army Emergency Relief" and not because you rather buy an expense asset for your vehicle instead of paying rent or putting food on the table for your family. I was given a good brief today by the AER instructor in our course and she gave out some great pointers and examples from the past that were denied/approved. Bottom line is, I'm ok with this new change and hope that Soldiers use it for what it is meant in the first place. Believe me, AER personnel told our class that they will deny requests for those who abuse the program.

Response by SGT Private RallyPoint Member made Jul 18 at 2014 12:02 PM

2014-07-18T12:02:19-04:00

1SG, I feel it's a No/Go. The majority of those ranks have high-value hand receipts and/or is responsible for $1000's (if not millions) of property. If someone is truly hurting for cash, the Soldier's CoC needs to know. It's could turn into a security issue, then ultimately that soldier being fully mission capable. Besides, it could be a simple fix of showing an inexperienced soldier (with finances) a way of budgeting. Sure, it might be an invasion of privacy, but the ultimate goal is helping a soldier, and showing someone where they possibly went wrong.

Response by SGT Hector Rojas, AIGA, SHA made Jul 27 at 2014 9:25 AM

2014-07-27T09:25:06-04:00

Rank does not necessarily mean good financial judgment. I would like to equate this to the TA benefit. SFC and above can sign and authorize for themselves. SFC and above can sign themselves in and out of Leave without even being present, just a phone call will do.
Emergencies do happen, and having personally been in a situation that needed an urgent financial need that surpassed our savings, my experience was one of delays, reviews, interviews and finally denial of CDR endorsement mainly based on the recommendation of a PLTN SGT.
At the time I was 42 y/o, a wife with Cancer, owned a home, 3 vehicles and a boat. Checking and savings account well stocked.
The PLTN SGT that decided to recommend denial?...as it turns out he was arrested for armed bank robbery after I'd left the unit.

So with my personal bad experience in hand, I'd rather trust adults (E-5 and above) and their AERO to make the final approval decision when an emergency arises, rather than a third party that is neither personally involved or a financial officer.

Respectfully.

Response by SSG Private RallyPoint Member made Feb 17 at 2015 9:13 PM

2015-02-17T21:13:19-05:00

I know as leaders you want to be involved but that goes without saying that like anything else there is a stigma of "asking for help", especially financial assistance. The Soldier doesn't want to be looked as a "dirtbag" by others in the unit and rumors tend to spread. If you're a leader, you should be developing a rapport with your subordinates, building a foundation of trust. Know you Soldiers and families, they're an integral part of the Army family. When you give the tools to your subordinates to help themselves and be self-sufficient and still leave the door open for them to still seek guidance from you for issues/concerns, then you've done your job. Well, that's been my experience anyways. Now keep in mind that if the AER officer seems something "funny" in the Soldier's budget, they can still inform the Commander about those concerns even if they're E-5 & above.

Since we always good rounded leadership here, be aware that there are new categories within the AER program that Soldiers are and their families are eligible for:
http://www.army.mil/article/71452/

Here are some of those categories explained:
http://www.militaryonesource.mil/12038/MyDoD/Fort%20Irwin%20AER.pdf

Now also, if you are not aware already, each state has a The Joint Family Support Assistance Program center(s). The program is designed to meet the needs of families of all military (Active Duty, Guard and Reserve) members. JFSAP is designed to be a community based program and targets military Families across the state that are considered geographically dispersed from the support normally provided by an active duty installation. Let's say your Soldier is on leave and they're experiencing an emergency, they can contact one of these centers for assistance. Hopefully they call their 1st line leadership and let them know whats going on.

AER can help the following:
Regular Army: Active Duty
Regular Army: Retired
Army National Guard: Federal Active Duty
Army National Guard: State Active Duty
Army National Guard: Drilling
Army National Guard: Retired
Army Reserve: Active Duty
Army Reserve: Drilling
Army Reserve: Retired

Changes in AER include family dental assistance, spouse scholarships

New categories of assistance and new scholarship opportunities are now available through Army Emergency Relief.

Response by SFC Penelope Kaisershot-Mattison made Jun 1 at 2018 12:42 AM

2018-06-01T00:42:22-04:00

I had my bank account closed on me because it was compromised. My bank that I had done business with for over 10 yrs. would do nothing to assist. That was on Wed & my benefits were due to deposit on Fri. Even though I immediately opened a new account, I am still playing catch-up & am in serious danger of losing my home & vehicle through no fault of my own. I have lousy credit because I have no credit (no credit cards, loans, etc.) & though I have tried I can not get a loan to save my soul. Is there anywhere I can turn for help?

Response by SGM Bill Frazer made Jun 1 at 2018 6:02 PM

2018-06-01T18:02:06-04:00

Agree Top