SB 25-282

Senate Bill 25-282, which has been signed into law in Colorado, aims to protect veterans by setting rules for companies and individuals who help them apply for or appeal veterans' benefits. The bill restricts these helpers from charging more than $9,200 or 25% of any back payments a veteran receives, guarantees successful outcomes, or provides services without proper accreditation. It also requires clear contracts and secure handling of personal information. Any fines collected due to violations will go into the Colorado state veterans trust fund. This law affects anyone who seeks help with their veterans' benefits claims in Colorado.

Official Summary

The act makes it a deceptive trade practice under the "Colorado Consumer Protection Act" for a person who consults with, advises, or assists a veteran in connection with a claim for veterans' benefits (veterans' benefits matter) to: Receive compensation in excess of the lesser of $9,200 or 25% of the amount of any past-due benefits the veteran actually receives after the person procures an increase in the veteran's monthly benefits; Receive compensation in connection with a claim filed prior to a veteran's release from active duty or within the one-year period following a veteran's release from active duty; Guarantee a successful outcome in a veterans' benefits matter; Fail to memorialize the payment terms and certain disclosures in a written, signed contract; Omit certain disclosures from advertising or make false representations about accreditation; Fail to take various security measures related to veterans' personal information; or Provide services in connection with an appeal or review of the veterans administration's initial decision in a veterans' benefits matter, unless the service provider is accredited by the veterans administration. The act requires the attorney general or district attorney to transmit any civil penalty collected for a violation of the veterans' benefits matter provisions to the state treasurer for deposit in the Colorado state veterans trust fund. (Note: This summary applies to this bill as enacted.)

Votes