Stay Financially Fit; Avoid Predatory Lending Published Oct. 5, 2007 By 355th Fighter Wing Legal Office DAVIS-MONTHAN AIR FORCE BASE -- Fitness has become a major focus in recent years. But, don't just focus on your physical fitness; focus on your financial fitness as well. Flex your financial muscles, exercise control over your hard-earned money, run down your resources, and avoid the pitfalls of predatory lending. The Federal Military Lending Act (FMA) went into effect Oct. 1. It is designed to lessen the impact of predatory lending on service members and their families. These advances in future income include payday loans, cash advances, title loans, and tax refund anticipation loans. However, many lenders have already revised their policies and practices to minimize the impact this law has on their businesses. High finance charges plague many of our Airmen and their families. Interest rates well above 300 percent on payday loans are routine and considered a viable short-term fix to financial woes for many. Despite new federal law to protect our service members, these companies are thriving and are working around the law to continue to profit. If you have more month than paycheck or unexpected expenses getting in the way of making ends meet, the "Easy" solution may appear to use these type of loans. But while these "solutions" may seem easy at first, with their skyrocketing interest rates, they are actually more of a hardship than a solution. Financial difficulty does not always equal financial irresponsibility. Before a situation gets truly bad, seek help from your family--your military family. If you find yourself in a situation where these loans seem like a good or easy financial option, FIRST contact the First Sergeant, Airman and Family Readiness Center financial counselor, Air Force Aid Society, or your financial institution for information and/or assistance. These financial fitness trainers can help develop a plan for long term financial health.