Next of Kin Collections Protection Act of 2025

This bill amends title 38, United States Code, to refine the process for paying certain benefits administered by the Secretary of Veterans Affairs when a beneficiary dies. Its primary purpose is to clarify the effective date for discontinuing specific benefits, particularly pensions, to prevent financial hardship for surviving family members. Specifically, the legislation modifies Section 5112(b) to establish that for a VA pension under an existing rating or decision, the benefit will be discontinued on the last day of the month in which the payee's death occurs. This provision ensures that the beneficiary's estate or next of kin receives the full pension payment for the entire month of death, rather than having it cease earlier. The amendments will apply to benefits affected by deaths occurring on or after the bill's enactment date.