The DoD travel card policy, as currently structured, is not reasonable. Specifically, the policy mandates that the Sailor use personal credit lor the convenience of the government while placing restrictions on how the Sailor uses his credit. Moreover, the current travel card structure requiring the Sailor to cover the government's expenses with his credit gives little concern to the immediate fiscal impact on the Sailor.
Current travel policy requires the individual take out personal credit. This is inherently inappropriate. It essentially requires individual Sailors to cover the government's obligations. Likewise, by mandating use of the travel card, the credit available to the Sailor is decreased by the travel card's limit. Many Sailors and even first-tour officers desperately need that credit to establish a residence, buy a first car. or furnish an apartment. In short, this credit is needed to acquire the tools and resources that we expect most adults in our society to own or have available. Requiring individuals to decrease purchasing power by assigning a portion of credit to a mandatory travel card is not an example of Covenant Leadership.
The travel policy also places restraints on how this credit may be used. By limiting use of the card to official travel, potential difficulties arise. First, the morality of an order that directs how an individual uses his personal credit is questionable. second, by limiting use of the card to travel, it is possible to get in a situation where the Sailor has overpaid the card and has no quick way to recoup the excess payment.
For example, if the Sailor is using the split pay option on his travel claim and if he is required by the bill due date and slow processing of a travel claim to pay the card with his own money. then when the travel claim eventually processes, the bill has been overpaid. With no authorized use of the card other than official travel, the Sailor must contact Bank of America and request a refund check. While Bank of America states that a refund check will be mailed in seven to ten days, the total delay might be significantly longer. Based on the timing of the travel claim and the billing cycle, the Sailor mav not realize that there has been an overpayment for up to 30 days. This represents a significant cost Io the Sailor.
The fiscal strain placed on the Sailor is also a concern. Any credit sel aside for the travel card is credit the Sailor cannot use for his or her benefit. Moreover, credit set aside for a credit card is considered "used" when calculating the Sailor's credit score. The greater the percentage of credit used, the lower the credit score. Likewise, the number and type of credit cards may also have a negative impact on the Sailor's credit.
Finally, if the Sailor is unable to pay the credit card in a timely manner, he is the one who is penalized with negative information on his credit record. This remains true regardless of whether the Sailor is at fault because of filing a late claim or the government is particularly slow in processing that claim.
It can also inpact the Sailor in other ways. For example, utilities now use credit rating to determine the amount of security deposit required prior to turning on services. Likewise, some auto insurance companies use credit scores to determine the "trustworthiness" of drivers. So a slowly processed travel claim could result in a higher car insurance hill.
Since most credit card companies reserve the right to inereuse rates in the event of any adverse information, a late payment on the DoD travel card can very easily result in the Sailor paying a higher interest rate immediately on any and all other credit cards in his name. The current travel policy can also cause a Sailor to have less credit available for legitimate personal uses, a lower credit score, and additional expense with existing credit.
A system that requires individual Sailors to cover governmental obligations until it is convenient for the government Io pay is fundamentally flawed and manifestly unreasonable. The DoD travel card has been allowed to continue because it has the sanction of law and provides some benefit to the DoD in terms of streamlining travel requirements and travel claim processing. Despite this, the potential damage to the individual Sailor's credit is unacceptable. We owe it to our Sailors to investigate other options and make the travel process more reasonable and less onerous to those least able to hear the burden. For our Sailors' sake, the DoD travel card must go.
Lieutenant Commander Davis is an information warfare officer on the staff of the Joint Functional Component Commander for Network Warfare, He has completed numerous deployments on amphibious ships, carriers, and destroyers.