VA LOAN CAPTAIN BLOG & Learning Center

Relief for Veterans and Servicemen on Mortgage Loans and Refinancing

By: Grant Moon 03/23/12 07:30 am

Tags: , , , , , , ,

On 6thMarch 2012, President Obama outlined his plans to reduce mortgage costs for veterans and other service members. In his Presidential address, he said – “It is unconscionable that members of the armed forces and their families have been some of the most susceptible to losing their homes due to the actions of unscrupulous banks and mortgage lenders. But over the last years that happened.”

The white House disclosed further details of the new program that includes approximately $26 million in settlement amount announced last month, and agreed upon by the government and major lenders.

As per the plan:

– Federal officers will review mortgage loans issued since the year 2006 for any discrepancies.

– Troops or families victimized by illegal foreclosure would receive a minimum of $116,000, plus thousands more in punitive payments from the banks.

– Service members charged excess interest above 6%, in violation of federal protection of service members, will be eligible for four times in excess of what they overpaid (around $9000 for a mortgage of $200,000).

– A sum of $10 million will be sanctioned towards the Veteran Housing Benefit Program Fund.

Military homeowners will not have to apply to be eligible for the payouts or new programs. Federal officials have said they will review military and mortgage records to search for discrepancies in the numbers, and contact affected troops. However, troops who believe they may be eligible can call 800-896-7743 for more information.

Need help with refinancing your home? VA Loan Captain works with a network of lenders that offer competitive pricing for nationwide VA home loans. The VA Loan Captain Veterans Guarantee ensures competitive pricing and adherence to high legal, ethical, and servicing standards. Contact us today to learn more.


VA Loan Captain, Inc. is a service disabled veteran owned small business registered in the state of New Jersey.® is a diversified housing, benefits, education, and services platform assisting current and former servicemembers to receive the information, value, and services that they deserve.® has partnerships with veteran focused non-profits and charities that provide services to veterans but is not affiliated with the VA or any government agency.

© 2021 - All Rights Reserved.

Please complete the following fields to be contacted by one of our representatives.

To find out if you are eligible, complete the following fields to be contacted by a certified VA loan consultant.