On February 17, 2026, President Donald Trump’s Department of Veterans Affairs announced it is ending the long-standing practice of reporting certain veterans to the FBI’s National Instant Criminal Background Check System (NICS) solely because they use a fiduciary to manage their VA benefits.
For years, veterans who required financial assistance through the VA’s Fiduciary Program were reported to NICS as “prohibited persons,” a designation that could prevent them from legally purchasing firearms. The policy stemmed from determinations that a veteran was unable to manage financial affairs, not from a criminal conviction or court ruling on mental competency.
The issue has been a flashpoint in Second Amendment debates. In 2016, concerns were raised that veterans diagnosed with post-traumatic stress disorder (PTSD) or those seeking help for combat-related mental strain feared losing their gun rights. Some veterans expressed hesitation about seeking medical treatment or financial assistance, worried that doing so could trigger reporting to federal authorities and result in restrictions on firearm ownership.
Under the updated policy, the VA will no longer report veterans to NICS solely because they participate in the Fiduciary Program.
In its announcement, the department said the change is effective immediately. The VA also stated it is coordinating with the FBI to remove prior fiduciary-based submissions to NICS to ensure that veterans are not restricted from exercising Second Amendment rights based only on their need for help managing benefits.
Attorney General Pam Bondi said the prior practice threatened constitutional protections.
“It is both unlawful and unacceptable for Veterans who serve our country to have their constitutional rights threatened,” Bondi said. She added that she is directing the Bureau of Alcohol, Tobacco, Firearms and Explosives to review its regulations and propose changes aimed at preventing similar actions in the future.
The VA emphasized that the policy shift does not affect existing federal laws prohibiting firearm possession for individuals who have been adjudicated as mentally defective by a court or committed to a mental institution. Instead, the change narrows the criteria so that fiduciary status alone will no longer trigger reporting.
Supporters of the move argue it restores due process protections for veterans, while critics in past debates have maintained that safeguards were necessary to address potential risks tied to competency determinations.
The new directive marks a significant policy reversal and is expected to impact thousands of veterans previously flagged under the fiduciary reporting system.
