Disability compensation and pension overpayment

Yes, you must continue making payments on the established debt to avoid collection actions (e.g., Treasury offset, credit reporting) while your dispute is under review, as the VA’s notice is a clear statement of its current administrative requirement under 38 CFR 1.911 and 31 U.S.C. § 3716. Your situation involves a "dispute of the amount" of a valid debt, which is distinct from a "waiver" request (38 CFR 1.910) or a challenge to the debt’s validity; the VA is obligated to review your calculation dispute per its procedures but is not statutorily barred from continuing collection during this review. To effectively contest the amount, you must provide specific evidence (e.g., your own payment records, bank statements, VA award letters) that demonstrates a mathematical error in the overpayment calculation, as generalized arguments are often insufficient. If the decision on your dispute is unfavorable, you should immediately request a waiver on the grounds that repayment would cause financial hardship (38 CFR 1.963) or is against equity and good conscience (38 CFR 1.962), citing relevant case law like *Duran v. McDonough* which emphasizes the VA’s duty to consider a veteran’s individual circumstances. Your actionable next steps are: 1) Continue making payments to avoid severe collection actions, 2) Gather and submit all documentation pinpointing the exact calculation error to the address provided in your original debt notice, and 3) Prepare to file a waiver request promptly if your dispute is denied, as these are separate processes.

*This information is for educational purposes and does not constitute legal or financial advice.*