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VA Plans to Make Benefit Payments to Schools via EFT

September 20, 2012

For more than a decade, federal agencies have been required by law (31 USC §3332) to make most payments for government benefits by electronic funds transfer (EFT). Currently, however, only about 1,000 institutions have signed up to receive Post-9/11 veterans' benefits via EFT, with most other schools receiving payments by check. Representatives from the Department of Veterans Affairs (VA) announced at a recent meeting with the NACUBO VA Payments Workgroup that the agency plans to move all schools to EFT payments over the next few months.

This fall, VA will be sending letters to School Certifying Officials (SCO) at institutions currently receiving GI Bill payments by check. The letter will include details on how and when the institution should submit its EFT information and tax identification number to VA. Business officers may want to make sure the SCO knows where to route the request internally.

Business officers and SCOs with further questions on how to submit this data, or who wish to proactively sign up for EFT payments, should contact the institution's VA Education Liaison Representative (ELR). Institutions' ELRs can be identified on the VA's website.

Institutions that are not receiving payments from VA electronically by April 2013 may be contacted by the Treasury Department regarding noncompliance.

Join the Discussion

Members are encouraged to join NACUBO's VA Processes eGroup. This community, similar to a listserv, allows members to share questions, issues, concerns, and success stories related to administering VA programs.


Bryan Dickson
Senior Policy Analyst

Anne Gross
Vice President, Regulatory Affairs