Learn from My $7,800 Mistake: Beware of Predatory Companies and Unaccredited "Claim Sharks"

The red flags: how predatory companies take advantage

Many of these unaccredited organizations lure veterans in with flashy promises, but their financial demands tell a different story:

• ✓Upfront fees: charging money just to look at your file or start preparing an initial claim
• ✓Percentage of your back pay: demanding steep percentages of your hard-earned retroactive compensation
• ✓Lack of accountability: because they are not officially accredited by the VA, they are not bound by the VA's strict ethical standards or fee caps

My story: a $7,800 lesson learned

I learned this lesson the hard way. Early in my process, I reached out to a company to act as my agent. After signing on, the communication completely stopped. Whenever I tried to get updates or work with them, I was met with radio silence.

Frustrated, I decided to terminate my agreement with them and take matters into my own hands. I filed on my own, and my initial attempt was denied. But I didn't give up. I gathered additional medical evidence and submitted an appeal. After 1.5 years of fighting, my claim was officially granted, and I received a $21,000 backpay award.

Then came the punch to the gut. Shortly after my backpay hit, I received an invoice from that former agent demanding $7,800 — claiming credit for a victory they had zero part in achieving. Because I hadn't formally verified with the VA that the agent was removed from my official file, they tried to cash in on my success. I had to enter a whole new fight to prove I had terminated our relationship long before the appeal was won. Ultimately, I got it resolved, but the stress and hassle could have easily been avoided.

The #1 step you must take today: call the VA

If you have ever spoken with, signed a form for, or worked with a company or claims agent in the past, do not assume the relationship is closed just because you stopped talking to them.

Call the VA directly at 1-800-827-1000.

• ✓Ask directly: "Who is currently listed as my appointed representative or agent on file?"
• ✓Remove them immediately: if an old agent, company, or representative is listed that you no longer work with, tell the VA agent to remove them right away
• ✓Hold time: the VA usually answers this line fairly quickly, and those few minutes on the phone can save you thousands of dollars down the line

Keep your money where it belongs

You served your country, and you earned your benefits. Don't let predatory actors pocket a single dollar of your backpay for work they didn't do. Always verify who is on your official file, know your rights, and call 1-800-827-1000 before you finish your claim.