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VA repayment in CH13
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Your responsibility was to return those funds to the VA when you received them. Upon your divorce and your second husband's death, after you provided the paperwork to them and you noticed the checks were still coming, you should have known you would be responsible for paying those funds back if you cashed the checks. Your only recourse is to explain/argue with them that you provided the information to them and they did not stop the payments but then they will come back and state that you should have known payments would cease upon death, etc. My mother was overpaid a few months after my father's death and deposited the checks but we caught it when we did her paperwork and returned any further incoming checks. THe VA forgave her for the error and she did not have to repay, probably due to her age and that the amount was not that large.
You will need to contact the VA and get specifics on bankruptcy and VA benefits because I don't believe/am not certain that you can discharge overpaid VA benefits that you owe the VA. Just as with the IRS and taxes, hopefully you will be able to pay them back over the course of a Chapter 13 depending upon what you find out from the VA.
Best of luck to you..._________________________________________
Filed 5 Year Chapter 13: April 2002
Early Buy-Out: April 2006
Discharge: August 2006
"A credit card is a snake in your pocket"
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Thanks. I understand that it is my responsibility to repay those dollars (as is my intention). I was not looking to discharge any amounts owed, I was wanting know if they could be repaid over the course of the 13 or if they would reduce my benefits (by them garnishing my deposits) for the one year repayment period. What would the trustee allow? I guess I will have to wait until I talk to my lawyer next month. Thanks again for the reply.CH13 - filed 30 JUL 09, $1521 @ 60 mos (100% payback)
Done!!! - 01 Jul 2014 I'm free!! Discharged 9/23/14!
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