Final answer:
When a Soldier fails to repay an AER loan, their name is placed on an AER restricted list and they may be barred from receiving future loans. Their credit score may also be negatively impacted.
Step-by-step explanation:
When a Soldier fails to repay an AER loan, their name is placed on an AER restricted list, which is distributed throughout the entire Army.
This means that the Soldier will face certain consequences. One consequence is that they will be barred from receiving any future loans from AER until the outstanding loan is repaid in full.
Additionally, their credit score may be negatively impacted, making it more difficult for them to secure loans from other lenders in the future.