Picture yourself going about your day, not knowing that a legal time bomb has been counting down for almost a year. That’s what happened to one veteran in 2021. As he was driving down a small rural town, he was stopped for something as insignificant as rolling through a stop sign. What ensued was a complete shock—he was arrested on a federal warrant he had no idea even existed.
“It had been on the market for 10 months, and I had no bloody clue,” the veteran said. “It ended up being phony and unauthorized.” He was locked up for three days before the problem was resolved. But the consequences did not stop there.
The VA’s hardline policy on warrants
Even though the warrant was invalid, the Department of Veterans Affairs (VA) went forward. The veteran, who had been receiving VA disability compensation at the 70% level, suddenly found himself owing money to the government.
“They made me pay every dollar of the 10 months’ benefits,” he said. “That was more than $17,000 that was taken out of me.”
The VA also has a policy of suspending payments to veterans with outstanding felony warrants, whether or not they’re aware of the warrant. And if benefits are terminated, the VA typically regards any benefits paid out in the meantime as an overpayment, which they must reimburse, even if the warrant gets later dismissed.
Stuck in the appeals system
After the blow of the huge overpayment, the veteran immediately filed an appeal, hoping to have reinstated what he felt was an unjust penalty.
“I’ve got all of the paperwork done. It’s in the appeals process right now,” he said. “But it probably won’t get any attention until 2027.”
He is not alone in frustration. The VA appeals process is known for slow wait times, even where the evidence is strongest. And despite policies to consider financial hardship, speeding up the process still appears to plod along.
What other veterans are saying
Other veterans responded to his post, with one suggesting that he file a VA Form 20-10207 for Priority Processing due to financial hardship. Another suggested scanning all the documents to support the claim through the VA.gov portal or the VA app.
If you find yourself in the same situation, it’s important to move quickly, keep detailed records of everything that happens, and know your rights. As a commenter pointed out, “If you can prove the warrant was in error, the VA may waive the overpayment and return the cash.”
The bottom line
This veteran’s experience is a powerful reminder: even a false warrant can derail your benefits and finances. Stay informed, keep your legal record clear, and monitor your VA status regularly. A small oversight or clerical error can become a years-long battle if you’re not careful.
