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Bill > SB0231

IN SB0231

IN SB0231
Assistance in obtaining veterans' benefits.

summary

Introduced
01/08/2026
In Committee
01/08/2026
Crossed Over
Passed
Dead

Introduced Session

Potential new amendment
2026 Regular Session

Bill Summary

Assistance in obtaining veterans' benefits. Provides that a person may not receive compensation for: (1) the preparation, presentation, or prosecution of; or (2) advising, consulting, or assisting an individual regarding; a veterans' benefits matter, except as permitted under federal law. Provides that a person may not receive compensation for referring an individual to another person to provide services related to veterans' benefits matters. Provides that a person may not receive excessive or unreasonable fees for services related to veterans' benefits matters. Provides that a person may not condition the repayment of fees: (1) upon the opening of a joint account with the recipient of veterans' benefits from which the person may make withdrawals; (2) upon the use of electronic funds transfers; or (3) by requiring an individual to act, in any manner, in violation of federal requirements relating to preauthorized transactions. Provides that a person may not collect, or attempt to collect, any fee for services rendered after receipt of benefits by a veteran or any other individual eligible for the benefits, if the person participated in the veterans' benefits matter prior to the issuance of veterans' benefits, and if the transaction was structured with an intent to avoid prohibited acts. Provides that a person seeking to receive compensation for services related to veterans' benefits matters must, before rendering any services, enter into a written agreement that is signed by both parties and that complies with federal regulations, including all terms regarding the payment of fees for services rendered. Requires a person to provide certain disclosures when entering into a business relationship with an individual or advertising for compensation services. Provides that a violation constitutes a deceptive act under the law concerning deceptive consumer sales and senior consumer protection provisions.

AI Summary

This bill establishes new regulations for individuals and entities seeking compensation for assisting veterans in obtaining benefits, aiming to prevent deceptive practices and ensure fair fees. It prohibits receiving payment for preparing, presenting, or prosecuting veterans' benefit claims, or for advising or assisting individuals with these matters, unless specifically permitted by federal law. The bill also forbids compensation for referring individuals to others for such services and prohibits excessive or unreasonable fees, with specific federal regulations guiding what constitutes an unreasonable charge. Furthermore, it prohibits conditioning fee repayment on opening joint bank accounts, using electronic funds transfers, or requiring actions that violate federal rules on preauthorized transactions. The bill also prevents collecting fees for services rendered after a veteran receives benefits if the person was involved prior to benefit issuance and the transaction was structured to avoid these prohibitions. Before providing any services, a written agreement signed by both parties, compliant with federal regulations on fee terms, is required. Additionally, individuals must provide specific disclosures to clients and in advertisements, clearly stating they are not affiliated with the U.S. Department of Veterans Affairs and that free services may be available from other organizations. Violations of these provisions are considered deceptive acts under consumer protection laws, with enhanced penalties for actions involving senior consumers.

Committee Categories

Military Affairs and Security

Sponsors (1)

Last Action

Senate Veterans Affairs and The Military Hearing (09:00:00 1/20/2026 Room 233) (on 01/20/2026)

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