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HRD-81-5 1 (1981-02-13)

handle is hein.gao/gaobabboa0001 and id is 1 raw text is: 



BY THE COMPTF

Report To The i

United States S


UNITED STATES


oval


         ed To Strer

Debt Collection


he Veterans Administration has had serious pro.
baems collecting educational assistane overpay-
melts and other debts from veterans. The amount
of educational assistinge overpayments on  ch
VA:,terminated collection actiongrew fro nt
$1Q million as of June 1975 to $198 million as of
4uno 1980. Most veterans with del inquent ovaypay-
me~t accounts appear to be able to repay the!
debts.
Bevoral problems which have hampered VA's cpllec-
tior efforts may be corrected by VA, but others
wil require legislative action. The most significant
faor which limited the effectiveness of VAs col-
lection efforts was that veterans opuld ignore repay-
ment demands wit little or no fear of adverse aC-
tions which would normally rest from falure to
pay private-sector debts. Recently enacted lqgisla-
tio will hel p solve this problem by permittin g VA
to use certain private-sector debt collection tech-
niq'es.
GAO recommends that the Administrator of yeter.
an$ Affairs and the Congress take additional action
to atrengthen VA's debt collection efforts and that
VA resume collection action on debts previously
coirsidered uncollectable.
    ,  .cf S...€T r


        HRD-41-5
FEBRUARY 13, 181


675-C,3 tz,


114421

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