A MOAA-backed proposal to expand critical credit protections to all members of the armed services moved one step closer to becoming law this month with its inclusion in the Senate version of the FY 2026 National Defense Authorization Act (NDAA).

The bill would update the Fair Credit Reporting Act to provide free credit monitoring for armed forces members regardless of duty status. The changes would take effect one year after the bill’s passage. At present, only active duty members can access the free service.

MOAA has supported standalone legislation – the Servicemembers’ Credit Monitoring Enhancement Act – with the same goal in multiple congressional sessions. Last year, the bill passed the Senate by unanimous consent but did not receive a House vote. This session’s version was introduced by Sens. Amy Klobuchar (D-Minn.), Kevin Cramer (R-N.D.), Andy Kim (D-N.J.), and Steve Daines (R-Mont.), and was referred to the Senate Committee on Banking, Housing, and Urban Affairs in June.

“It is essential that financial protections be provided to all members of the uniformed services, and we are grateful that this legislation has been passed to help expand these protections,” said Jimmy Santos, MOAA’s Director of Government Relations for Currently Serving Affairs, in a news release. “The Military Officers Association of America is extremely appreciative of the work of Senators Klobuchar, Cramer, Carper, and Daines for providing protection to our servicemembers, irrespective of duty status. With financial stability and peace of mind, our armed forces are able to maintain mission-ready focus and keep our citizens safe”

[RELATED: Scam Protection Resources From MOAA]

An Ever-Present Threat

National Guard and Reserve members have seen significant spikes in credit-related financial complaints, according to a 2024 report by the Consumer Financial Protection Bureau’s Office of Servicemember Affairs. These servicemembers reported 32% more credit or consumer reporting issues in 2023 than the previous year, along with 46% more credit card-related complaints over the same span. Both increases are higher than those seen in the active duty and veteran populations.

Credit monitoring can also help servicemembers combat identity theft and other types of fraud, which cost Guard and Reserve members $40 million in 2024, according to the Federal Trade Commission. Total fraud loss for all military members topped $110 million last year.

“Servicemembers are heroes who put their lives on the line for our nation, and we must support them in every way we can,” Klobuchar said in the release. “By making free credit monitoring available for every single member of our armed forces, this bipartisan legislation will improve the financial security of military families and give them greater peace of mind.”

[RELATED: MOAA Members Save on Identity Theft Protection With Aura]

Cramer noted deployments and frequent moves make servicemembers and families more vulnerable to some types of fraud. “The inclusion of the Servicemembers’ Credit Monitoring Enhancement Act in this year’s NDAA is an important step to protecting their financial security,” he said.

The measure is not included in the House-passed version of the NDAA. Lawmakers from both chambers will craft a compromise version in the coming weeks; during this process, MOAA will work to ensure this measure reaches the final bill, alongside other key priorities (House | Senate).

For more on MOAA’s legislative efforts, including the latest on the NDAA process and ways you can make your voice heard with your lawmakers, visit our Legislative Action Center.