Noteboom The Law Firm

New Bill Will Stop Unauthorized Companies From Charging Veterans for Claims Assistance

September 8, 2010 - There is a saying, "the law has no teeth." There could be no better example of this than a federal law barring people from charging veterans for helping them file their initial claim for their veterans' benefits. The law provides that only Department of Veterans Affairs (VA) sanctioned companies can provide aid to veterans as far as helping them fill out paperwork to collect their benefits.

Currently, however, there is neither a criminal nor a financial penalty for assisting that veteran. The law is in place but has no teeth.

Congressman Gus Bilirakis has chosen to address this issue by introducing a bill (HR 5648) that will hopefully fill in the law's obvious inadequacy. A recent investigation discovered there are existing companies charging veterans illegal fees for helping them file a VA claim.

The criminal penalties for violation of this law were accidently removed by Congress. Without criminal penalties, there is no point to prosecute those violating the law. If passed, Bilirakis' bill will restore those criminal penalties, which includes both fines and federal prison time.  

Violation of this rule has become a national problem and one that must be corrected. According to Bilirakis, his bill garners support from both Democrats and Republicans and believes his bill will become law by the end of the year.