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FYI - This is a new policy change by VAC effective 8 August 2014. Still serving members will no longer be able to go to VAC District Officers or call the NCCN number and request that their pension app be red zoned due to financial distress. The adjudicators handling red zone files have become so overwhelmed in recent years due to a flood of (in many cases, impatient people who simply want their money as quick as possible) clients requesting their pension apps be red zoned for decision based on financial hardship. I had heard it with my own ears while I was still serving from various people to just "tell VAC your in financial distress and they'll red zone your file to get it done quicker". Well.... the word spread Canada wide about requesting a red zone and now after having a ridiculous number of pension apps requesting red zone due to financial distress, VAC has slammed that door shut.
Effective 8 August 2014, the only way for a still serving member to get a pension app red zoned will be a letter from the financial advisor at your nearest friendly SISIP office or a certified financial advisor. Members will be required to divulge their full financial statements to the financial advisor and demonstrate a genuine need for a red zone due to financial distress. Mortgage payments in arrears, foreclosure imminent or unable to meet basic needs ie - utilities, food or shelter. Debt will need to be proven to the financial advisor who will then provide a letter to VAC to verify the member is in genuine financial distress. Vehicle repossession, cell phone bills, credit cards maxed will NOT be considered as financial distress. You can live after the repo man has seized your car due to non payment.
Then the file will be red zoned, and fortunately, for the members in true financial distress, their files will be processed quickly. I'm not saying that the pension will be a guarantee either. A red zone can be ordered on a fresh pension app that has yet to be adjudicated on, but that in no way guarantees a favorable decision. It simply means the member's pension app will be pushed onto an adjudicator's desk as quickly as possible to have a decision rendered.
This change has been implemented as too many people were abusing the system for their own convenience. Members in true financial distress were stuck under a stack of pension apps on a red zone adjudicator's desk because a pile of other people wanted their new Harley as soon as possible and also claimed financial hardship to get their app red zoned and get their new toy quicker. One would think a quarter of the Forces was living in poverty if you looked at the apps sitting in Charlottetown awaiting red zone processing.
Another change they've implemented is that Veterans aged 75 to 79 that have unmet health needs (i.e - Long Term Care) or 80 and older will have their files automatically sent for red zone regardless of financial situation. I don't think I need to explain why. Our remaining WWII & Korean Veterans are still in need of services and rightly should be placed at the front of the queue. Bravo Zulu on this decision IMO.
Effective 8 August 2014, the only way for a still serving member to get a pension app red zoned will be a letter from the financial advisor at your nearest friendly SISIP office or a certified financial advisor. Members will be required to divulge their full financial statements to the financial advisor and demonstrate a genuine need for a red zone due to financial distress. Mortgage payments in arrears, foreclosure imminent or unable to meet basic needs ie - utilities, food or shelter. Debt will need to be proven to the financial advisor who will then provide a letter to VAC to verify the member is in genuine financial distress. Vehicle repossession, cell phone bills, credit cards maxed will NOT be considered as financial distress. You can live after the repo man has seized your car due to non payment.
Then the file will be red zoned, and fortunately, for the members in true financial distress, their files will be processed quickly. I'm not saying that the pension will be a guarantee either. A red zone can be ordered on a fresh pension app that has yet to be adjudicated on, but that in no way guarantees a favorable decision. It simply means the member's pension app will be pushed onto an adjudicator's desk as quickly as possible to have a decision rendered.
This change has been implemented as too many people were abusing the system for their own convenience. Members in true financial distress were stuck under a stack of pension apps on a red zone adjudicator's desk because a pile of other people wanted their new Harley as soon as possible and also claimed financial hardship to get their app red zoned and get their new toy quicker. One would think a quarter of the Forces was living in poverty if you looked at the apps sitting in Charlottetown awaiting red zone processing.
Another change they've implemented is that Veterans aged 75 to 79 that have unmet health needs (i.e - Long Term Care) or 80 and older will have their files automatically sent for red zone regardless of financial situation. I don't think I need to explain why. Our remaining WWII & Korean Veterans are still in need of services and rightly should be placed at the front of the queue. Bravo Zulu on this decision IMO.
