Veterans’ benefit advisers would face fee limits and safeguards

People helping with benefit claims would face bans on paid referrals, promises of specific benefits, and excessive or unreasonable fees. The rules would cover claims and appeals for benefits handled by the U.S. Department of Veterans Affairs or Department of Defense, for veterans, dependents, survivors, and other eligible people who have filed or intend to file a claim. Paid advisers would put all fee terms in writing and give a notice explaining their lack of government or veterans-group affiliation, possible free help, lack of guaranteed endorsement, and possible other benefits. Applicants would sign the notice. It would need an easy-to-find location and at least 12-point type. Violations of these rules or the other requirements in this section would carry a civil penalty. Paid advisers would give the notice when the business relationship begins and keep a copy throughout service and for at least one year after it ends.

Paid advisers handling veterans’ initial claims would receive payment only if benefits increase, capped at five times the monthly benefits awarded. These limits would apply to people seeking payment for helping a veteran with an initial benefits claim. Advisers could not charge upfront or nonrefundable fees. For claims filed within one year of leaving active duty, payment would require a veteran’s signed waiver acknowledging that period and choosing to decline available free services.

Paid advisers helping with initial claims would have to limit how they process and access veterans’ personal information. These safeguards would apply to people seeking payment for helping a veteran with an initial benefits claim. Advisers could not use international call centers or data centers to process veterans’ personal information. They could not use veterans’ personal login details to access medical, financial, or government benefits information. Before allowing anyone to access veterans’ medical or financial information, advisers would need a background check from a reputable source that verifies identity and checks criminal records.