VA Education Benefits Payment Backlog Affects 75,000 Military Dependents
A software failure complicated by the ongoing federal government shutdown has interfered with education and housing payments for more than 75,000 dependents and survivors of former military members attending school.
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VA Education Benefits Payment Backlog Affects 75,000 Military Dependents
The beneficiaries, who receive funds through the Dependents’ Educational Assistance (DEA/Chapter 35) program, are experiecing difficulties being paid monthly stipends of approximately $1,600, and they are not alone. The schools these students atend are also awaiting tuition payments.
VA Benefit Payment Problems
The payment disruptions began in August 2025 when the Department of Veterans Affairs (VA) unsuccessfully attempted to transition the Chapter 35 program to a new claims management system.
This type of difficulty has plagued the Department of Veterans Affairs across multiple upgrade attempts, including the botched rollout of a new VA digital medical records system, MHS Genesis. The software transition for Chapter 35 has also failed, albeit for different reasons, forcing the VA to revert to a manual processing system and creating an immediate backlog.
The problem was further complicated when the federal government shutdown furloughed employees deemed “non-essential.” This group reportedly included the IT technicians and computer staff needed to fix the broken software for the Chapter 35 upgrade.
VA Claims It Is Still Processing Chapter 35 Payments
The VA claims it continues to process claims manually. However, the agency appears unable to keep pace with the volume. The backlog may not be clear until late November or early December, at least according to the Department of Veterans Affairs, but these should be viewed as “guesstimates” at best.
The government shutdown has also closed the GI Bill Hotline (1-888-GIBILL-1), the primary contact method for students with payment questions. Veterans Service Organizations, such as The American Legion, have called on the VA to reopen communication channels.
What Affected Students Can Do
DEA students affected by the payment delay have several options. The first and most critical step is to contact their school’s School Certifying Official (SCO) or veterans’ services office. These offices are aware of the widespread VA delays and can provide the most accurate information about the school’s policies on pending payments and potential emergency aid.
While the GI Bill Hotline is closed, the main VA Benefit Hotline at 1-800-827-1000 remains operational. Students who call this number can report a “financial hardship” and request an expedited claim.
Another option is to contact a local Member of Congress. A representative’s office employs caseworkers who can file a formal congressional inquiry with the VA on a constituent’s behalf, which can help get a specific status update.
Finally, the VA’s “AskVA” secure messaging portal on VA.gov is still operational at press time; however, this may be subject to change.
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About the author
Editor-in-Chief Joe Wallace is a 13-year veteran of the United States Air Force and a former reporter/editor for Air Force Television News and the Pentagon Channel. His freelance work includes contract work for Motorola, VALoans.com, and Credit Karma. He is co-founder of Dim Art House in Springfield, Illinois, and spends his non-writing time as an abstract painter, independent publisher, and occasional filmmaker.
