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- From now until February 19, all advance pay recipients will receive a second letter from VA’s Debt Management Center that provides options for reimbursing VA for the advance payments.
- The right to dispute the recovery of the advance and the right to request waiver of recovery will be explained.
- Individuals will be allowed 30 days to respond.
- Options will include establishing a monthly repayment plan.
- Repayment plans can extend as long as one year but each plan will be determined based on individual circumstances.
- If advance pay recipients are currently receiving education benefits and they do not establish a repayment agreement with the Debt Management Center:
- VA will deduct $750 from monthly education payments beginning April 1 (or the full amount if less than $750).
- Post-9/11 GI Bill tuition-and-fee payments to schools will not be affected.
- Benefits payable as a result of enrollment changes or reenrollments for additional terms will also be applied to recovery after 30 days.
- Arrangements must be made to repay any balance remaining at the end of the enrollment period, unless the Debt Management Center is notified of plans to reenroll in the near future.
- Advance pay recipients not currently receiving VA educational benefits must make arrangements with the Debt Management Center to reimburse VA.
- When all efforts to recover are exhausted, the Debt Management Center will forward the remaining balance for collection by the Treasury Offset Program.
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