Marine Corps News, news from Iraq - Marine Corps Times

Survey: Marines struggling with finances

Half of all Marines are struggling with their personal finances, according to a new survey conducted by the Corps’ inspector general’s office, a trend that worries some officials who fear that the jittery economy is further undermining readiness for a force already stressed by steady combat deployments.

“More people are feeling like they are struggling to keep their heads above water,” said Col. Adele Hodges, who led the survey. “We’re concerned that it might be the straw that broke the camel’s back.”

Falling home prices, rising energy costs and tougher access to credit have forced more Marines to pawn possessions and seek payday loans, desperate measures to stay financially solvent, according to the survey, which polled 9,089 enlisted Marines and officers stationed at bases worldwide.

“It looks like, overall, there is an increase in the number of individuals who are feeling the crunch,” Hodges said.

See the report:

2008 Financial Health Quick Poll Excusive Summary

More than a quarter of enlisted Marines regretted taking on more debt and said they were denied credit in the past year. Roughly one in five said they had been contacted by a collection agency or were unable to make credit card, car or house payments.

The IG conducted the study during three weeks in July via an online questionnaire containing 104 questions that focused on issues ranging from troubles with credit card payments to commuting distances. About 5 percent of the 192,883 eligible Marines participated with enlisted Marines contributing 84 percent of the responses.

Hodges said she worries that the numbers are worse than reported. She said she believes many struggling Marines declined to complete the survey for fear of being branded financially unfit by their commanders. To take part, Marines were required to enter their Social Security numbers to verify their identity, though their names did not appear on the form.

“We think it … hurt our ability to compile an accurate picture,” she said.

Nevertheless, the IG gathered sufficient data to determine more Marines are feeling the pinch compared to a year ago, when 26 percent of enlisted Marines said they were “very comfortable and secure.” That number plunged to 11 percent this year. Meanwhile, the number who said they “occasionally have some difficulty” rose from 26 to 36 percent. Thirteen percent reported they were “keeping my head above water” while 2 percent answered they were “in over my head.”

The numbers are less pronounced on the officer side, but significantly fewer reported to be “very secure and comfortable” compared to last year. In all, 22 percent reported some degree of financial difficulty this year.

The 2007 numbers were pulled from the Corp’s quality of life survey, conducted by the Manpower and Reserve Affairs branch every three years.

By an overwhelming margin, both officers and enlisted Marines recommended that transportation costs be subsidized as a way to ease the burden of rising gas prices. Nearly 80 percent of Marines advocated government-funded transportation.

Just like civilians, Marines reported they have cut back spending in other areas to keep pace with rapid inflation. And more trouble could be around the corner for some Marines. Of those who own a home — 13 percent of enlisted and 18 percent of officers — have adjustable-rate mortgages that prompt more heartache when rates increase.

In the coming weeks, Hodges will make recommendations to Marine leaders on what can be done to keep troops focused on their jobs rather than their financial troubles. Although the Corps is not in a position to authorize pay increases, it could roll out enhanced financial support systems, such as counseling and education programs, she said.

She said the Corps also can prohibit Marines from tapping into payday loans with interest rates so high they often create more financial difficulty.

“We did that in Jacksonville,” she said, referring to the North Carolina city that is home to Camp Lejeune, where she was the first female colonel to command.

She said the Corps plans to conduct the study again next year.