FOR IMMEDIATE RELEASE: September 25, 2024
CONTACT: Joshua_Natoli@helmy.senate.gov
Following New Jersey’s Leadership in Penalizing Predatory Claim Sharks for Exploiting America’s Military Heroes
Washington, D.C. – Senator George Helmy (D-NJ) today announced he is co-sponsoring legislation that would protect our nation’s veterans seeking assistance with the benefit claims process by criminalizing predatory practices among non-accredited entities. The Governing Unaccredited Representatives Defrauding (GUARD) Veterans Affairs Benefits Act would allow the federal government to penalize unaccredited organizations exploiting vulnerable veterans with unauthorized fees under the guise of helping them file disability claims.
With over 338,000 military veterans living in New Jersey, in 2023, Governor Phil Murphy signed into law the first state legislation in the nation making it illegal for claim sharks and other unaccredited businesses to charge veterans to file disability claims. Several other states have followed New Jersey’s lead in passing similar measures to protect our nation’s military heroes. At the national level, federal agencies have lacked the tools necessary to protect veterans from these claim sharks because the criminal penalties were eliminated from the underlying statute 20 years ago. The bipartisan GUARD VA Benefits Act would bring these penalties back, including a fine of up to $500 and a two-year maximum prison sentence.
“It’s sickening to know there are organizations that prey on American heroes who are simply looking for help with the Veterans Affairs benefit claim process,” said Senator Helmy. “We need to hold these bad actors accountable for charging unauthorized and predatory fees on veterans filing disability claims, and this bill does just that. As we head toward Veterans Day, I intend to push forward this important legislation any way I can in Congress to protect our veterans back home in New Jersey and across the country.”
“I’m proud that New Jersey has led the movement to put an end to predatory organizations exploiting our nation’s veterans as they apply for disability payments and other earned benefits,” said Senator Cory Booker. “We need to pass this legislation at the federal level and protect those who have served our nation from claim sharks looking to unfairly profit off of hardship. The GUARD VA Benefits Act will help ensure veterans have access to the resources they need without fear of being taken advantage of.”
“This bill would strengthen the work we are doing in New Jersey to protect against bad actors taking advantage of our country’s heroes,” said Governor Phil Murphy. “In 2023, New Jersey led the nation in safeguarding against claim sharks, becoming the first state to pass bipartisan protections for the nearly 340,000 veterans who call New Jersey home. I’m proud that Senator Helmy is continuing to build upon this work in the U.S. Senate.”
“This bill is important to pass, as we have too many veterans who don’t belong to a veteran organization and are falling for the TV and print ads promising to get them benefit ratings,” said Bill Archer, Commander of American Legion Post 239. “Most of the veterans who do fall into this trap are older and don’t realize that their benefits are earned and they do not need to pay to apply to receive them. I ask every veteran I run into if they are in the VA system and if they are in any of the veteran organizations. There are too many that answer that they are not. I am proud to be a Commander in the American Legion, as it has been a key partner in passing critical legislation for veterans and their families over the past few Congresses…but the fact is our work is far from being done.”
“This legislation began in New Jersey and being the first state in the nation was amazing,” said Jay Boxwell, former New Jersey VFW State Commander. “This is actually protecting some of the most disenfranchised and needy veterans. It holds unaccredited organizations accountable with penalties and fines. There’s been a lot of pushback from these unsavory companies, but we’re looking to have them held to the same standard that all the other VA-credited companies are held to. On a federal level, this would save so many veterans financially because they won’t have to pay huge sums of money to claim sharks and many times in perpetuity.”