South CarolinaS 0695126th General Assembly (2025-2026)SenateWALLET

AN ACT TO AMEND THE SOUTH CAROLINA CODE OF LAWS SO AS TO ENACT THE "SOUTH CAROLINA SAFEGUARDING AMERICAN VETERANS' BENEFITS ACT"; AND BY ADDING ARTICLE 8 TO CHAPTER 11, TITLE 25, SO AS TO PROVIDE DEFINITIONS, SET GUIDELINES AND LIMITS FOR COMPENSATION, MEMORIALIZE TERMS, AND STATE PENALTIES FOR NONCOMPLIANCE.

Sponsored By: Tom Young, Jr. (Republican)

Signed by Governor

Summary

Unauthorized Fees for Claim Assistance

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 3 benefits, 0 costs, 0 mixed.

Tight limits on paid veterans’ claim help

South Carolina sets strict rules on paid help with veterans’ benefits. No one can charge to prepare, advise on, present, or prosecute a claim unless federal law allows it. No upfront or nonrefundable fees are allowed. Any fee must be in writing, depend on a benefit increase, and be the smaller of five times the monthly increase or $12,500. Installments must be interest‑free and end within 12 months. No one may get paid just for referring you. Within one year after you leave active duty, no fees are allowed unless you sign a waiver saying you decline free help. Exemptions apply to accredited VA representatives or attorneys, certain licensed attorneys (including those resolving VA medical‑care liens or in a compliant joint contract), and employees of South Carolina Veterans’ Homes. Effective May 19, 2026.

Clear disclosures and data safety for veterans

Paid providers must give a written disclosure at the start saying they are not part of the VA or the state veterans’ department and that free help may be available. It must be in at least 12‑point type, you must sign it, and they must keep a copy during service and for one year after. Providers cannot promise you will get specific benefits or a certain rating. They cannot use your personal logins or hire a medical provider to do a medical exam. Anyone who can see your medical or financial data must pass identity and criminal background checks first. Effective May 19, 2026.

Penalties for abusing veterans seeking benefits

Breaking these rules is a misdemeanor. Courts can fine up to $1,000 and/or jail up to 30 days for each case. Veterans who lose money can sue under the South Carolina Unfair Trade Practices Act. The Attorney General can get injunctions without posting a bond, and each day of violation counts separately. Courts can award the State its reasonable costs and attorney’s fees. Civil penalties go to the Veterans’ Trust Fund. Effective May 19, 2026.

Sponsors & Cosponsors

Sponsor

  • Tom Young, Jr.

    Republican • Senate

Cosponsors

  • Tameika Isaac Devine

    Democrat • Senate

  • Jeffrey R. Graham

    Democrat • Senate

  • Ed Sutton

    Democrat • Senate

  • Overture Walker

    Democrat • Senate

Roll Call Votes

All Roll Calls

Yes: 146 • No: 0

House vote • 5/7/2026

(Unauthorized Fees for Claim Assistance)Passage of Bill

Yes: 100 • No: 0

Senate vote • 2/5/2026

(Unauthorized Fees for Claim Assistance)2nd Reading

Yes: 46 • No: 0

Actions Timeline

  1. Effective date 05/19/26

    6/5/2026legislature
  2. Act No. 211

    6/2/2026legislature
  3. Signed By Governor

    5/19/2026Governor
  4. Ratified R 146

    5/14/2026legislature
  5. Concurred in House amendment and enrolled

    5/13/2026Senate
  6. Scrivener's error corrected

    5/8/2026legislature
  7. Read third time and returned to Senate with amendments

    5/8/2026House
  8. Unanimous consent for third reading on next legislative day

    5/7/2026House
  9. Roll call Yeas-100 Nays-0

    5/7/2026House
  10. Read second time

    5/7/2026House
  11. Amended

    5/7/2026House
  12. Scrivener's error corrected

    5/6/2026legislature
  13. Committee report: Favorable with amendment Medical, Military, Public and Municipal Affairs

    5/5/2026House
  14. Referred to Committee on Medical, Military, Public and Municipal Affairs

    2/11/2026House
  15. Introduced and read first time

    2/11/2026House
  16. Read third time and sent to House

    2/10/2026Senate
  17. Roll call Ayes-46 Nays-0

    2/5/2026Senate
  18. Read second time

    2/5/2026Senate
  19. Amended

    2/5/2026Senate
  20. Committee Amendment Adopted

    2/5/2026Senate
  21. Committee report: Favorable with amendment Family and Veterans' Services

    1/29/2026Senate
  22. Referred to Committee on Family and Veterans' Services

    1/13/2026Senate
  23. Introduced and read first time

    1/13/2026Senate
  24. Referred to Committee on Family and Veterans' Services

    12/10/2025Senate
  25. Prefiled

    12/10/2025Senate

Bill Text

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