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VA Home Loan Program Reform ActSection 3 › Proposal

The Secretary may contract out servicing and require quarterly statements

To amend title 38, United States Code, to authorize the Secretary of Veterans Affairs to take certain actions in the case of a default on a home loan guaranteed by the Secretary, and for other purposes, section 3, Sec. 3. Written by .

The Secretary may contract out servicing and require quarterly statements

The document says “canWho acts: Secretary of Veterans AffairsHow: statuteSec. 3 in the PDF
What the document says

“The Secretary may enter into a contract with an appropriate entity for the service of a partial claim made by the Secretary under this section. Any such contract shall provide that such entity shall provide quarterly statements to the holder of the loan for which the Secretary makes the partial claim.”

To amend title 38, United States Code, to authorize the Secretary of Veterans Affairs to take certain actions in the case of a default on a home loan guaranteed by the Secretary, and for other purposes, Sec. 3

The Secretary of Veterans Affairs may hire an outside entity to service a partial claim. Any such contract has to require that entity to send the loan holder a statement every quarter.

What the document actually says

“The Secretary may enter into a contract with an appropriate entity for the service of a partial claim made by the Secretary under this section. Any such contract shall provide that such entity shall provide quarterly statements to the holder of the loan for which the Secretary makes the partial claim.”

To amend title 38, United States Code, to authorize the Secretary of Veterans Affairs to take certain actions in the case of a default on a home loan guaranteed by the Secretary, and for other purposes, Sec. 3
That sentence, in plain words

The VA can hire a firm to look after the claim. The firm must send the lender a report four times a year.

What this is about

Looking after the claim means keeping the books and taking payments. The rule about reports must be in the deal.

No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.

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