Request VA financial hardship assistance | Veterans Affairs (2024)

FAQs

How do I request a hardship claim with the VA? ›

Fill out a Request for Hardship Determination (VA Form 10-10HS). Write a letter explaining why you're requesting a hardship determination. The letter should describe the financial issues that make it hard for you to pay your copays. Submit your completed form and letter to us.

What debt repayment and relief options does VA offer? We offer 4 repayment or relief options for benefit-related VA debt: Monthly offsets. If you get VA benefit payments, we may keep (or “offset”) part or all of each payment to pay down your debt.

I've attached a copy of my eviction notice, medical documents, a letter from my former employer, and my bank statements. I sincerely ask you to consider granting full relief of my co-debt so that I can get back on my feet, both physically and financially. Thank you so much for your consideration and time.

You'll need to submit a Financial Status Report (VA Form 5655) as part of your request for help with certain VA repayment or debt relief options. Read below to learn more about this report and how to submit one.

To be eligible for a hardship withdrawal, you must have an immediate and heavy financial need that cannot be fulfilled by any other reasonably available assets. This includes other liquid investments, savings, and other distributions you are eligible to take from your 401(k) plan.

Depending on your situation, you might submit documents such as an unemployment notice, medical bills, military orders or a divorce decree. It's also helpful to provide verification of all sources of income (paystubs, W-2s and 1099s) as well as account statements to show your current financial status.

Minor hardships are insufficient; the VA needs to find that the financial hardship is “extreme.” Getting collection notices from credits, facing eviction or foreclosure, needing to file bankruptcy, or having your utilities cut off – these extreme conditions may be sufficient for expedited treatment of your disability ...

You cannot take out a loan on your VA disability. However, disabled veterans can qualify for various loans designed specifically to provide benefits to them, such as a VA loan for buying a home.

How do I request a waiver? You'll need to submit these 2 items: A Financial Status Report (VA Form 5655) A personal statement that explains why you feel you shouldn't have to repay the debt.

“Hardship” is a subjective and flexible term. There's no set legal definition for hardship in every circ*mstance. However, most courts recognize a hardship as having one or all of the following factors: A long-term negative financial impact on a party. Deprivation, suffering, or adversity for one or more parties.

How do you write a hardship request? ›

To write a proof of hardship letter, you should introduce yourself, describe your financial hardship, detail how long you expect the hardship to last, request a specific type of mortgage relief, and explain how that relief will help you get back on track with your loan payments.

You are in financial hardship if you have difficulty paying your bills and repayments on your loans and debts when they are due.

Veterans and active-duty service members might qualify for Public Service Loan Forgiveness. Under this program, borrowers can have their loans forgiven after working ten years for an eligible non-profit organization or government agency and making 120 qualifying monthly payments.

One of the most comprehensive education support programs in the nation, EDRP provides up to $40,000 a year—or $200,000 over a 5-year period—in loan repayment. Payments cover tuition and other educational and living expenses, including fees, books, supplies, equipment/materials and laboratory costs.

Equal to VA Form 40-10007 (Application for Pre-Need Determination of Eligibility for Burial in a VA National Cemetery).

Keep it brief, but be sure to add all necessary details. Focus only what has currently happened and how that has impacted your ability to make the payments. List what you have done to try to resolve the hardship. For example, you reduced your expenses, picked up a second job, etc.

A deferment is a period during which you are entitled to postpone repayment of your loans. Interest is not generally charged to you during a deferment on your subsidized loans.

Generalized conclusions will not suffice to support a claim of undue hardship. Instead, undue hardship must be based on an individualized assessment of current circ*mstances that show that a specific reasonable accommodation would cause significant difficulty or expense.