--- title: "Part II, Subpart ii, Chapter 2, Section C Locked Files Folder Maintenance" document: "M-21-1" section: "Part II, Subpart ii, Chapter 2, Section C" canonical: "https://veteranai.co/va-regulations/m21-1/ii.ii.2.c-locked-files-folder-maintenance" source: "https://www.knowva.ebenefits.va.gov/system/templates/selfservice/va_ssnew/help/customer/locale/en-US/portal/554400000001018/content/554400000175823/M21-1-Part-II-Subpart-ii-Chapter-2-Section-C-Locked-Files-Folder-Maintenance" updated: "2026-09-07T14:37:01.356036Z" --- June 24, 2021 ### II.ii.2.C.1.a. General Information on Maintaining a Restricted Record Paper Claims Folder Regional offices no longer maintain or store paper claims folders. The only paper claims folders still maintained are restricted record claims folders stored in locked files as discussed in [M21-1, Part II, Subpart ii, 2.B](). For the purposes of this section, use of the term _paper claims folder_ refers to the locked files at the restricted access claims centers (RACCs). The RACCs are responsible for maintaining Veterans’ paper claims folders and providing protection of their contents by * avoiding overcrowded claims folders in the file cabinets * replacing folders and envelopes that become damaged, and * taking appropriate action to address any misfiled * documents, and * folders. ### II.ii.2.C.1.b. Handling Misfiled Paper Documents That Belong to Paper Claims Folders Follow the instructions shown in the table below to determine how to handle misfiled documents belonging to paper claims folders. | **If the misfiled document belongs with a paper claims folder and …** | **Then ...** _no_ action is required | place a routing slip on the document and route it to the correct paper claims folder for proper filing. action is required | * establish end product (EP) control, if necessary * place a routing slip on the document * route the document to the correct paper claims folder for proper filing * add a note indicating the type of document being routed to the paper claims folder, and * take appropriate action to address the misfiled document. **References:** For more information on * handling incoming mail, see [M21-1, Part II, Subpart i, 2.C](), and * adding notes, see the [Veterans Benefits Management System (VBMS) Core User Guide](). _**Exception**_ : Follow the guidance in [M21-1, Part XIV, 4.B.1]() when the misfiled documents contain Federal tax information. ### II.ii.2.C.1.c. Handling Misfiled Paper Documents That Belong to eFolders Use the table shown below when determining how to handle misfiled paper documents that belong to an electronic claims folder (eFolder) in VBMS. | **If the misfiled paper document belongs with an eFolder and …** | **Then ...** _no_ action is required | route the paper document to the intake processing center (IPC) to send the document for scanning. **Reference:** For more information on sending documents for scanning, see [M21-1, Part II, Subpart i, 1.A](). an action is required | * establish EP control, if necessary * route the paper document to IPC to send the document for scanning, and * once the document is uploaded into VBMS, take appropriate action on the record to address the document. **Important:** If the misfiled document is time sensitive, take whatever actions it necessitates _before_ routing it to the IPC for scanning. **Reference:** For more information on handling incoming mail, see [M21-1, Part II, Subpart i, 2.C](). **_ _** **Reference:** For information on handling a misfiled, electronic document, see [M21-1, Part II, Subpart ii, 2.A](). ## 2. Filing Material in Paper Claims Folders This topic contains information about filing material in paper claims folders, including * general policy on filing materials in paper claims folders * filing material in paper claims folders * filing of folder flashes, and * limitation of filing excessive material in a paper claims folder. June 24, 2021 ### II.ii.2.C.2.a. General Policy on Filing Materials in Paper Claims Folders File _only_ essential material with evidentiary, legal, or administrative value in a paper claims folder. **References:** For more information on types of material that should be * added to the paper claims folder, see M21-1, Part II, Subpart ii, 2.C.2.c, and * removed from the paper claims folder, see M21-1, Part II, Subpart ii, 2.C.3.a. ### II.ii.2.C.2.b. Filing Material in Paper Claims Folders Use the table below to file material in paper claims folders. **Note:** If a folder is pulled for any purpose, * convert old side-filing folders to top-filing folders, and * ensure that material in the paper claims folder is filed appropriately. | **Type of Material** | **Folder Location** | **Filing Order** * award prints * overpayment material * all documents relating to * payments * allowances, and * denials, and * Share prints of name changes | Left flap | Top down, with the newest material placed on top * birth certificates * marriage certificates * divorce decrees * legal documents, and * any permanent type of adjudicative material, including Compensation and Pension applications in support of the claim | Center | Chronological order, with the material organized by date received education material | Right flap | Top down, with the newest material placed on top * [_VA Form 26-1833, Advice Regarding Indebtedness of Obligors on Guaranteed or Insured Loans_]() * _VA Form 26-6822, Advice of Termination and Indebtedness on Portfolio Loans_ , and * _VA Form 20-6560, Notice of Benefit Payment Transaction, with message code 628, STATUS OF RECOUPMENT BALANCE AT TERMINATION_ | Left flap | Reverse file in the order shown at left **Rationale:** This filing order keeps the material on top of all subsequent documents filed. * [_VA Form 21-22, Appointment of Veterans Service Organization as Claimant’s Representative_]() * [_VA Form 21-22a, Appointment of Individual as Claimant’s Representative_](), and * _DD Form 214, Certificate of Release or Discharge From Active Duty_ , the military separation document, or its equivalent | Right flap | Reverse file in the order shown at left (e.g. _VA Form 21-22_ on top and _DD Form 214_ underneath). **Rationale:** This filing order keeps these forms above the training material at all times. **Note:** If necessary, add a standard two-prong fastener to the right flap to accommodate reverse filing. ### II.ii.2.C.2.c. Filing of Folder Flashes Use the table below to file flashes in _reverse_ filing order to allow the flash to be folded back and remain on top of all subsequent material. | **Flash** | **Location** _VA Form 22-6564, Claims Folder Flash – Vocational Rehabilitation Trainee_ | Left flap of the paper claims folder _VA Form 20-6879, Overpayment Flash_ | Left flap of the paper claims or deceased Veteran’s claims folder ### II.ii.2.C.2.d. Limitation of Filing Excessive Material in a Paper Claims Folder Do not continue to file material in a single paper claims folder if the folder becomes bulky and unmanageable. Generally, a paper claims folder volume should be limited to two or three inches in thickness. **Reference:** For information on creating additional volumes of claims folders, see the attachment _Historical_M21-1III_ii_3_SecB_8-22-18_. ## 3. Removing Material From Paper Claims Folders This topic contains information about removing material from paper claims folders, including * types of material requiring removal from paper claims folders, and * removal of material from paper claims folders. July 11, 2015 ### II.ii.2.C.3.a. Types of Material Requiring Removal From Paper Claims Folders Remove the following types of material from the paper claims folder if it has served its initial purpose and has no legal, administrative, or historical value: * diary forms * reference and routing slips * control records * incoming transmittal or cover letters with no evidentiary value * envelopes and returned VA original letters with no evidentiary value * requests for civil service preference certificates * VA form and form letter requests for evidence (returned originals or file copies) * rating activity worksheets * flashes, and * computer prints not specifically required by directives. **Note:** Exercise caution in removing transmittal or cover letters submitted by a power of attorney. These documents may state claims, assert or waive rights, or include legal argument. Differences between a representative’s transmittal or cover letter and statements from a claimant or legacy appellant may raise important questions requiring clarification. ### II.ii.2.C.3.b. Removal of Material From Paper Claims Folders Follow the steps in the table below to remove material from the paper claims folder. | **Step** | **Action** 1 | Remove material contained in paper claims folders that is redundant or of no record value. 2 | Dispose of the removed material under [RCS VB-1, Part I](). **Note:** There is no longer a requirement to return documents to the claimant. ## 4. Folder Renovations This topic contains information on how to properly renovate and protect folder content, including * general folder renovation policy, and * renovation of * segregated folders, and * non-segregated folders. June 24, 2021 ### II.ii.2.C.4.a. General Folder Renovation Policy Renovate a paper claims folder as needed to protect the contents. Perform any required renovation _before_ transferring a paper claims folder out of the RACC. ### II.ii.2.C.4.b. Renovation of Segregated Folders Follow the steps in the table below to renovate a segregated paper claims folder. | **Step** | **Action** 1 | Remove from compartment _A_ * change of address notices, and * superseded stop or suspend pay notices and worksheets. 2 | Remove from compartment _D_ all material dated one year or older. 3 | Check the material in all compartments for correct filing sequence. **_ _** **Reference:** For more information on the type of documents filed in each compartment of a segregated paper claims folder, see the attachment _Historical M21-1III_ii_4_SecF_7-11-15_. ### II.ii.2.c.4.c. Renovation of Non-Segregated Folders Follow the steps in the table below to renovate a non-segregated paper claims folder. | **Step** | **Action** 1 | Ensure all documents relating to payments, allowances, and denials are filed on the left flap of the folder. 2 | File documents in chronological order, with the oldest document at the bottom and the newest document on the top. 3 | Ensure replies to incoming correspondence are filed immediately above the incoming correspondence. 4 | Remove duplicate copies of documents _unless_ they contain notations of record value. 5 | Remove the following documents _if_ they have served their purpose and have no record value: * worksheets * control or suspense copies of Department of Veterans Affairs (VA) forms * form letters * diary slips * routing slips, and * letters of transmittal. 6 | Dispose of the removed material accordingly. 7 | Duplicate the old folder’s markings on the new paper claims folder. **Exception:** Do _not_ duplicate * the markings on obsolete folders, or * outdated folder notations as discussed in the attachment _ Historical_M21-1III_ii_4_SecG_3-2-20_.