SCAM STOPPER: Attorney General Ellison warns of claim sharks on Veterans Day

November 8, 2024 (SAINT PAUL) — In advance of the upcoming Veterans Day holiday on November 11, Attorney General Ellison today warned Minnesota’s veterans about claim shark companies that prey on veterans and family members who are seeking Veterans Affairs (VA) benefits. The warning is part of the Attorney General’s monthly Scam Stoppers series, aiming to protect Minnesota consumers from common scams.  

How the scams work 

A claim shark is an individual or company that illegally charges fees to “assist” or “consult” veterans with filing their VA benefit claims. Claim sharks are not VA-accredited as required by federal law. They target veterans or family members of veterans with aggressive and deceptive advertising. They then convince the veteran or family member to sign contracts with deceptive or unfair terms that require payment of large fees or even a percentage of benefit increases from claims, sometimes including claims that were filed with the VA before the contract with the claim shark was even signed. They make dishonest promises that they can accelerate the claims process or guarantee a veteran will obtain a certain disability rating when only the VA can determine disability rating levels. 

“It’s unacceptable when scammers target any Minnesotan,” said Attorney General Keith Ellison. “It’s particularly galling when scammers go after Minnesota’s veterans, who have risked and sacrificed so much on our behalf. It is important that Minnesota veterans know they have the right to select their own representation in pursuing benefit claims with the VA so long as the organization or individual has been authorized to practice before the VA.  Anyone who prepares claims without authorization is breaking the law and taking advantage of veterans.” 

How to spot a claim shark 

Claim sharks prey on veterans by taking a portion of their benefits or charging up-front fees. There are several common warning signs to look out for when dealing with companies or individuals who claim to provide assistance with veteran services benefits.  For example, claim sharks are likely to: 

• Claim their services are superior to free services offered by accredited veteran service officers; 
• Promise or guarantee increased disability rating or percentage increase; 
• Use high pressure sales tactics to convince a veteran to sign a contract; 
• Fail to make disclosures required under Minnesota law that require the veteran to acknowledge that they are entitled to free assistance with their benefits; 
• Present their services as “coaching” or “consulting” in order to avoid federal laws;  
• Require a veteran to provide their VA systems logins and passwords to submit claims on their behalf; or 
• Instruct veterans not to inform the VA they are receiving assistance from the company. 

How to protect your veteran benefits from claims predators 

Veterans do not have to pay to apply for their VA benefits — they are entitled to free assistance from VA accredited attorneys, claims agents, and VSO representatives. In Minnesota, companies offering veteran benefit services or appeal services are required by law to disclose this fact before accepting payment from a veteran. The VA provides information online about how to find a VA-accredited representative.

In order to protect VA benefits, veterans should only share sensitive information with VA-accredited attorneys, claims agents, and Veterans Service Organization representatives.  They should never provide login credentials to access personal information such as those for VA.gov.  Veterans should always review forms and should not work with someone who will not sign a VA representation form (21-22 or 21-22a).   

If a scam happens to you 

Attorney General Ellison asks that Minnesota veterans report scams to his office immediately. To better assist veterans and service members, the Minnesota Attorney General’s Office has created a form to help veterans, service members, and their families report companies and individuals claiming to provide veterans benefits assistance.  If you or someone you know was possibly scammed by a company or individual claiming to assist with securing veterans benefits, please complete this form.  Many people feel embarrassed when a scam happens to them, but the truth is that con artists and scammers are professionals with years of experience.  They are good at what they do, and they count on people feeling too embarrassed to protect others by speaking out.  If a scam happens to you, please report it right away. 

Reporting a scam 

If you believe you are the target of a scam, file a complaint with the Office of the Attorney General Keith Ellison online.  You can also contact the Attorney General’s Office by calling (651) 296-3353 or (800) 657-3787.