Process Improvements Needed In Recouping Overpayments To Service Members

The Department of Defense sometimes makes errors and overpays service members. DOD has acknowledged that its collections for overpayments have placed an undue burden on service members and, at times, damaged credit scores and led to garnished wages.

DOD has streamlined its debt collection regulation but key parts of it were incomplete and unclear—and the services didn’t consistently follow it. For example, some service members were not properly notified of their debt or the right to dispute it.