| Bank of America, provider of the government travel card, began
performing credit checks on card applications received on or after July 1, 1999. For
information about the bank's recommendation regarding a specific credit check or questions
about the results, contact Bank of America directly using the 1-800 number on the back of
the card. |
|
Bank begins credit checks on travel cards
WASHINGTON -- Bank of America, which merged with NationsBank a year ago, began
performing credit checks on government travel card applications received on or after July
1, 1999.
"This is something that always existed in the contract with the government,
but because of the merger, it took some time to enforce the policy," Michael Weber,
program manager for the Air Force travel card program said.
He said the credit check is based on a scoring system. If an applicant scores
below a cutoff established by Bank of America, the bank will recommend the individual
receive a restricted card.
An applicant can score below the cutoff level for a variety of reasons
including:
poor credit history;
lack of credit history;
applicant did not give permission to perform credit check.
A restricted card has a credit limit of $1,250 versus a $5,000 limit for a
standard card according to Mr. Weber. Bank of America issues standard cards to all
applicants unless:
an individual refuses to allow a credit check;
a credit check is authorized and the credit score falls below Bank of America's
cutoff point. In which case, Bank of America contacts the unit-level agency program
coordinator and either recommends or strongly recommends, depending on credit history,
issuing a restricted card.
Mr. Weber said Bank of America will only recommend a restriction through a
unit's agency coordinator, and will not indicate the reason to the coordinator.
"The Air Force will not become involved in resolving questions or
disagreements about credit checks or credit history," he said. "Bank of America
is responsible for safeguarding the details of credit information and for resolving
questions raised by individuals. If Bank of America recommends a restricted card, but is
not able to contact a coordinator within three days, a restricted card will be issued to
prevent card delay."
However, according to Mr. Weber, commanders acting through their coordinators,
may override the bank's recommendation and have a standard card issued to an applicant who
would otherwise receive a restricted card.
"Commanders may establish criteria for deciding whether or not to accept
the bank's recommendation. However, unless a restricted card would adversely affect the
individual's military mission, Air Force Financial Management will most likely recommend
that commanders follow the bank's decision," Mr. Weber said.
Commanders may increase credit limits at any time if they believe mission
requirements reflect the need for a higher limit. Commanders may also increase or lower
limits indefinitely through a coordinator. Lower limits are based on the bank's
recommendation. Reasons for the lower limit may vary, but Bank of America says a
restricted card will not adversely affect one's credit.
Regardless of status, every cardholder will receive a form from the bank
specifying the credit limits on their card.
For information about the bank's recommendation regarding a specific credit
check, or, questions about the results, Mr. Weber suggests contacting Bank of America
directly using the 1-800 number on the back of the card.
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