I won't comment as to whether you are being "too sensitive ". I am taken aback that an ID would be required to deposit money INTO an account. IMO, this is just another effort on the government's part to attempt to keep track of every monetary transaction that occurs.
Ostensibly this violation of our privacy is necessary to "fight terrorism" , or to wage our "war on drugs", but it's a very convenient opportunity to make it harder to launder money and avoid taxation. If one believes the government should have the right to invade privacy to enforce laws, then this would make one happy.
As far as which forms of ID are acceptable, perhaps it is as simple as the government understanding that certain forms of ID are more easily, perhaps TOO easily, forged. I don't know how easily forged a military ID is. I suspect the government is aware of these things though. I feel pretty confident that it's not intended as a slight to those who have served.
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