GI Protection Bill Gets House Approval 405-2

WASHINGTON-The credit union trade associations had been following the Military Personnel Financial Services Protection Act (H.R. 458), which passed the House June 28 by an overwhelming vote of 405-2. “The Military Personnel Financial Services Protection Act is a good first step toward protecting the financial well-being of our military,” Congressman Geoff Davis (R-Ky.), who sponsored the legislation, commented. “We’re making it easier for state insurance regulators to go onto military installations and ensure that agents and companies offering financial products are not engaging in predatory tactics or selling bad products.” H.R. 458 bans the sale of contractual mutual funds, which disappeared from the civilian market over 20 years ago; clarifies that state insurance commissioners do have jurisdiction over military bases located within their borders, as well as military installations overseas; requires that military personnel be informed about life insurance available from the Federal government prior to the sale of any private insurance; and directs the states to develop standards to further protect members of the Armed Services. House Financial Services Committee Chairman Mike Oxley (R-Ohio) said, “The legislation will address this critical issue by helping to put an end to the long-standing problem of unscrupulous securities and life insurance firms which have been taking financial advantage of the men and women in our Armed Forces. There is no reason that any company selling these questionable plans can’t replace them with more reputable products as sold in the civilian market.” Also, last week, the House passed the Little Rock Central High School Desegregation 50th Anniversary Commemorative Coin Act (H.R. 358), which creates silver one-dollar commemorative coins beginning in 2007. In addition, the House voted in favor a resolution recognizing National Homeownership Month (H.Res. 312).