Why Being Banked Matters for Veterans

For many Veterans, managing money looks different after leaving the military. Some continue to rely on cash, money orders, or check-cashing services instead of using a bank or credit union. While that may feel familiar or convenient, staying unbanked or underbanked can come at a cost.

Being banked isn’t just about having an account. It’s about having a safe, reliable partner to help you build financial stability. Here’s why it matters.

The Risks of Being Unbanked

When you don’t have a bank or credit union account, the costs can pile up quickly:

• Check-cashing fees: Losing a percentage of every paycheck or benefit check just to access your own money.

• Money orders: Paying extra every time you need to pay a bill.

• Predatory loans: Relying on payday or title loans that trap you in cycles of high-interest debt.

• No safe place for money: Keeping cash at home can be unsafe and harder to track.

Over time, these costs don’t just eat into your income — they also limit your ability to build savings and stability.

The Benefits of Being Banked

1. Safety and Security
Bank and credit union accounts insured by the FDIC or NCUA protect your money up to $250,000 per depositor. That means even if the institution fails, your money is covered.

2. Faster Access to Benefits
Direct deposit through a bank or credit union gets your paycheck or VA benefits into your account quickly and securely — often faster than waiting on a paper check.

Programs like the Veterans Benefits Banking Program (VBBP), created in partnership with the Department of Veterans Affairs and the Association of Military Banks of America (AMBA), connect Veterans with trusted banks and credit unions that understand military and Veteran needs. Through VBBP, Veterans have access to safe accounts, financial education, and tools to manage their benefits more effectively.

3. Affordable Products and Services
Banks and credit unions often offer safe, affordable small-dollar loans, credit-building products, and savings accounts. These tools can help you avoid costly alternatives and support your long-term goals.

4. Control Over Your Money
With a bank account, you can track spending, set up automatic bill payments, and even automate your savings. Having that control makes it easier to stick with your financial goals.

Being Banked Builds Confidence

Your financial institution should do more than hold your money. It should help you build confidence in your financial future. For Veterans, that means having a safe place to keep your money, reliable access to benefits, and tools that make saving and borrowing fair and affordable.

If you’ve been relying on cash or check-cashing services, now is the time to consider the benefits of being banked. Trusted programs like the VBBP and partners such as AMBA are there to help guide you toward reputable, Veteran-focused options.

Take the Next Step

Want more support on your savings journey? Take the Veteran Saves Pledge today and commit to making a plan to save money, reduce debt, and build wealth. We’ll be your partner and send you resources and emails full of tips and resources to help you stay on track.