Washington, DC - Today, the U.S. House of Representatives passed Representative Scott Peters’ (CA-50) Veterans Claims Education Act (VCEA), which provides educational resources to steer veterans to Department of Veterans Affairs (VA) accredited entities instead of scammers. This will limit the ability of predatory companies to take advantage of and unfairly profit off veterans trying to access their hard-earned benefits. The House passed the legislation by voice vote.  

The VCEA is inspired by a constituent who wrote to Rep. Peters seeking assistance after he hired a for-profit company to maximize his VA benefits, but ended up having to pay more money to the company than benefits he was receiving.  

Speaking in support of his legislation, Rep. Peters said, “It is unconscionable that for-profit entities, known as ‘claims sharks,’ prey on the trust and goodwill of our veterans to line their own pockets. Republicans and Democrats may have sincere policy disagreements about how to provide world-class care to our nation’s veterans and their families, but I know we all agree that no one should be able to profit from the service and sacrifice of our veterans.” 

Multiple veterans service organizations have endorsed the VCEA, including the American Legion, Fleet Reserve Association, Paralyzed Veterans of America, Veterans of Foreign Wars, AMVETS, and the Iraq and Afghanistan Veterans of America.  

Specifically, the bill requires VA to:  

1. Inform all veterans filing a claim that there are accredited entities that can assist them.  

2. Provide the web address of an online search tool that lists accredited entities that can assist veterans with filing a claim.  

3. Provide a publicly accessible web address where veterans can file a complaint to report entities that are unaccredited and target veterans by charging a fee for their services.      

Background:  

Upon separating from military service, veterans may file a disability claim with the VA on their own or by utilizing VA-backed resources, such as an accredited attorney, a claims agent, or a Veteran Service Officer (VSO). An accredited representative or VSO must pass an exam, complete a background check, and take continuing education courses to ensure they provide up-to-date information to veterans. These accredited resources may file an initial claim with VA on the veteran's behalf free of charge. Unfortunately, an ecosystem of non-accredited for-profit entities has emerged which preys upon veterans' frustrations with VA's claims process. These companies often provide "consulting" services to help veterans prepare and present relevant paperwork needed to file a claim with VA in exchange for lump sum payments, a percentage of the total dollar amount awarded for a successful claim, or some other payment mechanism. Such fees lead many veterans to receive far too little of the benefits to which their service entitles them. Current legislative proposals designed to curb the excess of these companies focus on more stringent enforcement of existing laws and regulations.   

Full text of the legislation can be found here. 

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