Banking while a Cadet

[USMAZoo98]

I assume things have changed quite a bit since I was a cadet with regards to banking at USMA. Each cadet was able to open a USMA FCU account that over time has all been rolled up into whatever Navy FCU is now. When we received Cow loans, nearly every cadet then opened a USAA account. If my son has a USAA account already set up, can he simply use that as his principle bank account for his cadet pay? Would appreciate some insight from the newer grads or current cadets.

 

[scrose]

Yes, many cadets use USAA as their primary accts. There is a branch right outside Thayer gate. They will still have a penfed account, which I think book money gets deposited into, but pay can go directly into USAA.

 

[Capt MJ]

There have been many threads here over the years, appearing annually. As many sea service people do, I have accounts and products with both USAA and NFCU. Both have strong mobile platforms and understand deployments, PCS and other unique aspects of military life. Though I have ATM cards with both, I can use the USAA card at any ATM, any network, and get the fees refunded to me every month, up to a certain fee dollar limit/month. I have never exceeded that limit, so have never paid an ATM fee that was not 100% rebated. I think my NFCU card has to be used at a STAR network ATM to avoid fees, but I’m bit vague on that. NFCU has brick and mortar locations on/near most military bases, so I use the ATMs there. USAA has always been more online/phone oriented, and has very very few locations. Though I have been a member of USAA for over 40+ years, I can count on the fingers of one hand how often I have needed to actually deal with them in person. They pioneered being able to do mobile deposits from a phone app for personal accounts, and have focused on being tech-advanced and remote-capable.

NFCU has a slightly broader membership charter, allowing military members’ parents and siblings (I think) to become members. USAA has a more restrictive charter, as once the military person becomes a member, that person’s spouse and children, grandchildren, etc., can carry on the membership eligibility. Specifics for both are on their websites.

Both are fine organizations who cater to the military as their mission. I got both as an Ensign and have never used anyone else.

 

[jl123]

I assume things have changed quite a bit since I was a cadet with regards to banking at USMA. Each cadet was able to open a USMA FCU account that over time has all been rolled up into whatever Navy FCU is now. When we received Cow loans, nearly every cadet then opened a USAA account. If my son has a USAA account already set up, can he simply use that as his principle bank account for his cadet pay? Would appreciate some insight from the newer grads or current cadets.

DS also already had a USAA account and used it for the monthly stipend. You can use PenFed for monthly stipend, but will have to switch to USAA later for the Cow Loan, if taken.

The monthly stipend is direct deposited into the USAA account - this will come from DFAS, not the USMA Treasurer. The remainder of the cadet pay will go to the USMA Treasurer, who manages the Cadet Account and only does transfers to PenFed.

Each cadet has three required PenFed accounts - Regular Share Account (required as credit union member), Access America Checking account, and Thrifty Credit Service account ($500 line of credit).

Unlike in my day, and possibly yours, graduating Firsties do not receive their accumulated Cadet Account funds in one lump sump. The USMA Treasurer calculates an amount that must be withheld from Cadet pay and held in the Cadet Account to pay for expenses and transfers the excess to the PenFed account. Also, when the Cadet Account exceeds an amount determined by the Treasurer, a cadet is allowed to "Top Off" and request a transfer of the excess amount from the Cadet Account to PenFed. From there it can be transferred to the USAA account, if desired.