The Consumer Financial Protection Bureau (CFPB) has tracked consumer complaints since its inception in 2011 and has found that one subset of consumers, military personnel, face different financial challenges than others.
The CFPB receives about 15,000 complaints each year from servicemembers, veterans, and their families. A review of those complaints by the CFPB has found that servicemembers (SM) are more likely to submit complaints about debt collection than non-servicemembers (Non-SM). Specifically, 39 percent of all complaints from SMs are about debt collection, compared to 26 percent from Non-SMs.
However, SMs are less likely to submit complaints about the other four major categories of complaints. Regarding mortgages, 17 percent of SMs filed complaints compared to 22 percent of Non-SMs. With credit and consumer reporting, 15 percent of SMs had complaints compared to 19 percent of Non-SMs, while 7 percent of SMs complained about credit cards compared to 120 percent of Non-SMs. Further, 7 percent of SMs filed complaints about checking or savings accounts compared to 10 percent of Non-SMs.
Complaint data from SMs also varies depending on the state. In California, for example, there are more complaints about debt collection, while in North Dakota, the most common complaint is about credit or consumer reporting.
One of the major complaints SMs have about debt collection is when debt collectors call their superiors about debts without authorization. This is a prohibited practice.
CFPB forwards all complaints they receive to the company in question and requires a response within 15 days. The bureau has found that 97 percent of the complaints are responded to within 15 days.