Imagine if this was your life…

Every month, tax-free money shows up in your account. Your healthcare is covered. Your service is honored the way it should have been from the start. You’re finally able to stop worrying and start living.

For many veterans, this feels out of reach—especially if their discharge wasn’t “honorable.” But here’s the truth: a bad paper discharge doesn’t always mean the end of the road. There are multiple pathways that can still open the door to the VA benefits you’ve earned.

At National Security Law Firm (NSLF), we’ve walked this road ourselves. We know the frustration of being denied. And we’ve built an elite team to make the process as easy and successful as possible—whether you work with us, with a VSO, or even on your own.

Your Options If VA Benefits Were Denied Because of Discharge

Insanity Exception: Broader Than You Think

The VA’s definition of “insanity” is not the same as in criminal law—it’s actually much broader. Veterans may qualify if their misconduct was driven by a mental health condition that impaired their judgment at the time.

  • What qualifies? PTSD, Traumatic Brain Injury (TBI), depression, bipolar disorder, or other severe mental illnesses that led to behavior out of character.

  • Example: A veteran with untreated PTSD goes AWOL after a panic episode. While the military may have discharged them under Other Than Honorable (OTH), the VA could find that their misconduct was the direct result of PTSD.

  • Evidence needed:

    • Medical diagnoses from VA or private doctors.

    • Expert opinions connecting your condition to the misconduct.

    • Statements from family, friends, or fellow service members about your behavior changes.

  • Why it matters: If granted, the “insanity exception” allows the VA to look past the discharge and award benefits.

Character of Discharge (COD) Determination

Even if your DD-214 says your service was less than honorable, the VA doesn’t have to accept that at face value. They can conduct a Character of Discharge Determination to decide if you qualify for benefits anyway.

  • How it works: You submit a claim to the VA. If your discharge might bar benefits, the VA will review your overall record and issue a COD determination.

  • What the VA considers:

    • Quality and length of service (e.g., combat tours, awards, honorable conduct before misconduct).

    • Mitigating factors like PTSD, TBI, family hardship, or discrimination.

    • The nature of the misconduct—was it a one-time lapse or a pattern?

  • Example: A veteran discharged for minor drug use after years of exemplary combat service might still be found eligible for benefits.

  • Pro tip: Provide as much supporting documentation as possible, including service records, medical files, and lay statements.

Read more about: Character of Discharge Reviews

Discharge Upgrade

If you want your military record itself corrected, you can apply for a discharge upgrade. This doesn’t just affect VA benefits—it can restore honor in civilian life, improve job prospects, and unlock other state/federal benefits.

  • Discharge Review Board (DRB):

    • Handles discharges less than 15 years old.

    • Can upgrade discharges if they were unjust, inequitable, or procedurally flawed.

    • Example: A veteran discharged for being gay under Don’t Ask, Don’t Tell could have their discharge upgraded today.

  • Board for Correction of Military Records (BCMR):

    • For discharges older than 15 years or for complex cases.

    • Reviews errors, injustices, or overlooked evidence.

    • Example: A BCMR might correct a discharge where medical records showing PTSD were ignored.

  • Evidence to submit:

    • Medical records showing service-connected conditions.

    • Character references and personal statements.

    • Policy changes (e.g., recognition of MST or mental health conditions).

Read more about: Discharge Upgrades

VA Healthcare Eligibility

Even without a discharge upgrade or COD, many veterans can still access VA healthcare.

  • OTH discharges: VA can still approve healthcare for service-connected conditions (like injuries from deployments or MST).

  • MST-related healthcare: Available to all veterans who experienced Military Sexual Trauma, regardless of discharge.

  • Emergency mental health care: Available to all veterans, regardless of service length or discharge characterization.

  • Example: A veteran with an OTH discharge due to misconduct can still get treatment for PTSD if it was caused by service.

MST Exception

The VA acknowledges that misconduct or discharges tied to Military Sexual Trauma (MST) should not strip veterans of benefits.

  • Eligibility: If misconduct or separation stemmed from MST-related conditions (e.g., PTSD, depression, substance abuse), you may still be entitled to benefits.

  • What to submit:

    • Medical records documenting MST-related conditions.

    • Statements from the veteran and witnesses.

    • Documentation of changes in behavior or performance after the MST event.

  • VA support services: Specialized MST coordinators, counseling, and care are available even if benefits are limited.

New Regulations: Willful Misconduct and Moral Turpitude

In 2024, the VA issued new rules requiring a “compelling circumstances” review before denying benefits for misconduct. This is a game-changer for many veterans who were barred in the past.

  • Factors the VA must now consider:

    • Length and character of service overall.

    • Combat or deployment hardships.

    • Mental health or cognitive impairments (PTSD, TBI, etc.).

    • Experiences of abuse, discrimination, or MST.

  • Example: A veteran discharged for repeated misconduct within a stressful combat deployment might now be seen in a different light, with benefits restored.

  • Action step: If you were denied before 2024 due to misconduct, reapply under the new rules.

  • Evidence to include: Service records, medical evaluations, and personal statements explaining the “compelling circumstances” of your case.

Why National Security Law Firm (NSLF)

At NSLF, our goal is simple: maximize your benefits in the shortest possible time.

  • Veteran-Founded, Veteran-Led
    Brett O’Brien, founder of NSLF, is a U.S. Army disabled veteran still serving in the Reserves. He was diagnosed with a rare cancer linked to contaminated base drinking water—and denied by the VA. He’s been where you are.

  • Trusted Nationwide
    We’re accredited, founded by disabled veterans, and backed by 4.9-star reviews from the veterans we’ve helped (see reviews here).

Bottom line: We truly believe we are the best in the nation at what we do.

How Much Does It Cost?

With NSLF, you don’t pay unless we win.

  • Standard fee: 20% of back pay (the lump sum owed by VA).

  • No upfront cost.

  • No hourly billing.

For details, see our VA Disability Pricing Page.

Should You Hire a Lawyer?

Some veterans ask: “Do I really need a lawyer?”

Here’s the reality: a skilled VA lawyer should pay for themselves many times over.

💡 Example:

  • A veteran rated at 70% may get ~$1,700/month.

  • At 100%, they’d get ~$3,600/month.

  • That’s $1,900 more each month = $22,800 more each year.

  • Over 20 years, that’s nearly half a million dollars.

Without an attorney, you might miss benefits you didn’t even know existed—or settle for a lower rating. With the right lawyer, you’re getting more money, faster, for the rest of your life.

Check out our full Guide to Representation in VA Appeals for options.

Take the Next Step

Don’t let your discharge define the rest of your life. VA law is changing, and doors that were closed yesterday may be open today.

We serve veterans nationwide. Whether you’re applying for the first time or appealing a denial, we’ll fight until you win.

👉 Visit our VA Disability Education & Legal Strategy Center for everything you need: step-by-step guides, tips to speed up claims, and strategies to maximize your benefits.

And if you’re ready for help, schedule a consultation here. We’ll listen, we’ll strategize, and we’ll fight beside you.

National Security Law Firm: It’s Our Turn to Fight for You.