VA HOME LOAN UPDATE 12:
Many home owners have found it difficult
>> recently to pay their mortgages, VA guaranteed or otherwise, but
>> intervention by loan counselors at the Department of Veterans Affairs
>> (VA)
>> has actually reduced the number of veterans defaulting on their home
>> loans. Accounting for much of this success are VA counselors at nine
>> regional loan centers who assist people with VA-guarantied loans avoid
>> foreclosure through counseling and special financing arrangements.
The
>> counselors also can assist other veterans with financial problems.
VA
>> counselors have helped about 74,000 veterans, active-duty members and
>> survivors keep their homes since 2000, a savings to the government of
>> nearly $1.5 billion. Depending on a veteran's circumstances, VA can
>> intercede with the borrower on the veteran's behalf to pursue options
--
>> such as repayment plans, forbearance, and loan modifications -- that
>> would
>> allow a veteran to keep a home. To obtain help from a VA financial
>> counselor, veterans can call VA at 1(877) 827-3702. Information
about
>> VA's home loan guaranty program can be obtained at www.homeloans.va.gov.
>> Since 1944, when home-loan guaranties were offered with the original GI
>> Bill, VA has guarantied more than 18 million home loans worth $911
>> billion. Last year about 135,000 veterans, active-duty service
members
>> and survivors received loans valued at nearly $24 billion. About 2.3
>> million home loans still in effect were purchased through VA's
home-loan
>> guaranty program, which makes home loans more affordable for veterans,
>> active-duty members and some surviving spouses by protecting lenders
from
>> loss if the borrower fails to repay the loan. More than 90% of
VA-backed
>> home loans were given without a downpayment. April 08 data shows that
>> foreclosures are down more than 50% from the same months in 2003.
VA
>> attributes this to prudent credit underwriting standards, its robust
>> supplemental loan servicing program and VA financial loan counselors.
>> [Source: VA News Release 12 Jun 08 ++]