Here’s something you might not expect: a big chunk of military readiness has nothing to do with tanks, jets, or tactical training.
It’s about whether service members can get a decent car loan, whether credit unions have enough cash on hand during a crisis, and whether veterans can actually get funding to start their own businesses.
The Defense Credit Union Council (DCUC) is making that case to Congress right now. They’re asking leadership on both sides of the aisle to carve out a financial services section in the Fiscal Year 2027 National Defense Authorization Act—basically the massive bill that funds and authorizes defense operations every year.
“Financial readiness deserves a place in the broader conversation about national defense,” said Anthony Hernandez, DCUC President and CEO (and retired Air Force Colonel, because of course). “A carefully constructed financial services section would give Congress an opportunity to strengthen the institutions serving military communities and expand responsible financial options for those who serve.”
Three Practical Reforms That Actually Matter
DCUC sent letters to the Speaker of the House, House Minority Leader, Senate Majority Leader, and Senate Minority Leader laying out what they want. The ask isn’t complicated: create space for bipartisan negotiations on financial services, and hopefully include three specific priorities that would make real differences for military families and veterans.
Here’s what they’re pushing for:
- Permanent upgrades to the Central Liquidity Facility. Think of this as an emergency fund for credit unions. The proposal—which mirrors the Padilla-Cramer NCUA Central Liquidity Facility Enhancements Act (S. 3575)—would help credit unions shore up their cash reserves before a crisis hits, not after. It’s the financial equivalent of fixing the roof while the sun is shining.
- Modernized loan-maturity rules for federal credit unions. Right now, federal credit unions face outdated limits on how long loan terms can run. Reforms like those in the Expanding Access to Lending Options Act (H.R. 4167 and S. 3616) would give them more flexibility to offer financing that actually matches what people need—think longer auto loans or more realistic repayment schedules—without throwing underwriting standards out the window.
- Easier business lending for veteran entrepreneurs. The Veterans Member Business Loan Act (H.R. 507 and S. 110) would remove a regulatory hurdle that makes it harder for credit unions to approve business loans for veteran members. This isn’t about creating new federal programs or guaranteeing approvals. It’s about getting rid of an unnecessary barrier that doesn’t serve anyone.
Keeping It Practical, Not Political
DCUC made a point of emphasizing what they’re not asking for: they don’t want unrelated financial controversies to bog down the defense bill. They’re specifically requesting that any financial services section be hammered out through bipartisan talks among leadership and the relevant committees.
“Our request starts with creating the legislative opportunity,” explained Jason Stverak, DCUC Chief Advocacy Officer. “We are asking congressional leaders to work toward a financial services section, and we hope the resulting agreement includes these three priorities. Together, they address whether a credit union can prepare for financial disruption, offer suitable repayment terms, and consider a veteran’s business loan without an unnecessary statutory barrier.”
In other words: these aren’t pie-in-the-sky asks. They’re practical fixes to real problems that affect the people who serve and the institutions that serve them.
Defense and Financial Readiness Aren’t Mutually Exclusive
Hernandez wrapped up the argument with what might be the most important point: “Congress does not have to choose between protecting the NDAA’s defense focus and addressing the financial needs of the people who sustain that mission. The opportunity is to bring those objectives together through a disciplined, bipartisan agreement.”
It’s a fair point. You can’t have a mission-ready military if service members are drowning in bad loans, if credit unions serving bases can’t weather financial storms, or if veterans with solid business ideas can’t get funding because of outdated red tape.
DCUC says they’ll keep working with congressional leadership and committees to support the development of this financial services section. Whether it actually makes it into the final bill remains to be seen—but the case for including it is pretty compelling.
Related:
Why a Defense Credit Union Group Is Pumping the Brakes on New Vendor Oversight Powers
Credit Unions Want to Help Veteran and Rural Businesses Grow—But Old Rules Are Getting in the Way