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Improved Veteran Protection from Benefit Overpayment Debts

This act aims to improve the management of veteran benefits by limiting the Department of Veterans Affairs' ability to recover overpayments caused by administrative delays. It introduces new rules for debt notification and extends the time veterans have to appeal decisions, protecting their personal finances and ensuring fairer treatment.
Key points
Veterans will not incur debt if benefit overpayment is due to processing delays by the Department of Veterans Affairs.
The Department of Veterans Affairs will not charge interest or administrative fees on debts related to certain benefit programs, such as disability compensation or educational assistance.
The window to request debt relief is extended from 180 days to one year, giving veterans more time to respond.
New rules for disputing the existence or amount of a debt are introduced, pausing deductions until the dispute is resolved.
The Department of Veterans Affairs will not seek to recover debts if the cost of recovery exceeds the debt amount.
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Additional Information
Print number: 117_HR_2935
Sponsor: Rep. Pappas, Chris [D-NH-1]
Process start date: 2021-04-30