This Act may be cited as the Next of Kin Collections Protection Act of 2025.

(a) Effective date of certain reductions and discontinuances of compensation, dependency and indemnity compensation, and pension under laws administered by Secretary of Veterans Affairs (1) In general Section 5112(b) of title 38, United States Code, is amended— (A) in paragraph (1), by inserting (except in the case of a pension under an existing rating or decision), after death of a payee; (B) by redesignating paragraphs (3) through (10) as paragraphs (4) through (11), respectively; and (C) by inserting, after paragraph (2), the following new paragraph (3): (3) by reason of death of a payee in the case of a pension under an existing rating or decision, shall be the last day of the month in which such death occurs;. (2) Conforming amendment Section 1832(b)(4) of such title is amended by striking paragraphs (1), (6), (9), and (10) and inserting paragraphs (1), (7), (10), and (11). (b) Payment of benefits for month of death Section 5310(b) of title 38, United States Code, is amended by inserting, or in the case of a payment for the month of the death of a payee under section 5112(b)(2) of this title, before an amount equal. (c) Effective date The amendments to title 38, United States Code, made by this section shall apply with respect to a payment of a benefit affected by a death that occurs on or after the date of the enactment of this Act.