Veteran can't spend money after being labeled financially incompetent by VA

Julia LeDoux
March 05, 2019 - 4:11 pm
Pile of American money

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An Army veteran in Texas says he can’t spend any money without the permission of the Department of Veterans Affairs after the VA told him he’s “financially incompetent.”

Robert Arredondo says he has been diagnosed with PTSD and is 100 percent disabled. He enlisted in the wake of the Sept. 11, 2001 terror attacks and served for six years.

“I took my pledge, you know, I will guard and defend this nation against any threat, both terrorist or domestic,” Arredondo told KRGV.  “We meant it.”

For the past 10 years, he’s received around $3,200 a month in VA compensation. But, in February, Arredondo says the VA told him he is not competent to manage his financial affairs.

“I have let the VA know through hard copies and over the phone that I have titles, I have deeds,” he said. “I gave them access to my bank account. I had them run a credit score report, which I did not have to do.”

The VA defines someone as financially incompetent as “one who because of injury or disease lacks the mental capacity to contract or manage his or her own affairs, including disbursement of funds without limitation.”

RELATED: 5 Ways To Manage Your Money Before You Get That DD214

According to Arredondo, he’s debt free and there is no reason for him to be labeled as financially incompetent by the VA.

"I have let the VA know through hard copies and over the phone that I have titles, I have deeds.  I gave them access to my bank account and I had them run a credit score report. I didn't have to do that but I did," says Arredondo.

There is a link on the VA’s website that allows veterans to appeal any decision that the VA makes. Appeals must be made within a year of the decision being made.

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