Protecting Veterans from Proposed Legislation That Will Do More Harm Than Good

A house is about to get hit with a gavel, symbolically representing harmful VA loan legislationOn January 11, 2018, U.S. Senators Thom Tillis (R-NC) and Elizabeth Warren (D-MA) introduced bipartisan legislation in an attempt to protect veterans from predatory lending practices regarding VA refinance loans.

As I have mentioned in prior articles, I have a strong fear that when government steps in and tries to regulate the private mortgage sector, it could lead to overreaching. In turn, overreaching legislation could end up hurting the veterans it was initially meant to protect.

While the legislation from Senators Tillis and Warren is still just a proposal, if it’s carried out as currently described, I strongly believe that it will lead to an increase of suffering and real economic pain for veterans who own homes.

Benefits of the Current VA Home Loan Program

If you are not familiar with the VA home loan program, the easiest way to explain it is that it aims to make the dream of owning a home a reality for all eligible veterans.

Historically, because of the honorable military service of these amazing men and women, the VA home loan program has also been able to grant special benefits that are not available to civilians. Some of these benefits include:

  • No money down on the purchase of a new home
  • No monthly mortgage insurance for any VA loans, regardless of loan-to-value ratios
  • The ability to lower the rate with the VA IRRRL
  • Lower credit standards
  • Looser debt-to-income requirements
  • Lower rates
  • Certain non-allowable fees that can be charged to others but not veterans

A Quick Summary of Loan Churning

As I’ve recently discussed in my articles on mortgage churning and Ginnie Mae’s 2017 APM, Senator Warren began questioning whether or not veterans were capable of making their own educated decisions on when it made sense to refinance and when it did not make sense.

Together with a handful of industry professionals, Senator Warren has decided that loan churning is the single largest issue facing the VA home loan space.

Loan churning occurs when a home is repeatedly refinanced with very little benefit to the borrower. Also, there is often a strong disregard for closing costs and how they will affect the borrower’s finances.

It’s also important to note that loan churning is not something that only takes place with veterans–it can happen with all loan types and kinds of borrowers.

Protecting Our Veterans

I completely agree that our nation’s veterans deserve protection from aggressive lenders. I even agree that something needs to be done to ensure this protection. If you’ve read my prior articles, it’s clear that I’ve always believed this.

However, I do not think that villainizing the VA streamline loan is the correct approach. As I’ve said in the past, making the VA streamline loan more difficult to obtain could hurt veterans by locking them into higher loan rates for a longer period of time. Similar legislation that was passed in February 2017 shows that this can—and will—happen.

Should Senator Tillis & Senator Warren’s changes be implemented as is, thousands of veterans each month will be hurt and no longer helped by a program that has always afforded them special benefits not readily available to anyone else.

An Overview of the Proposed Changes

The senators’ proposed changes to the VA program—which would most likely affect just the VA IRRRL—are as follows:

  1. The fees associated with the VA streamline must be recouped within 36 months
  2. The interest rate if fixed on the new loan must be .5% lower than the existing rate being refinanced; if the new loan is an adjustable rate loan (ARM), then the new rate on the ARM must be 2% lower than the current rate being refinanced
  3. The loan being refinanced must have made a full 6 payments before it can be eligible for a VA refinance loan

Potential Problems with the Proposed Changes

Though these changes may not seem too strict at first glance, for someone like myself that sees what our veterans need on a daily basis, I can assure you they are!

These changes have the potential to hurt our veterans in a variety of ways, which are outlined below.

Issues with Requiring Closing Costs to Be Recouped within 36 Months

Saving a veteran $100 – $200 a month by putting them in a VA streamline loan, even if we can’t recoup the closing costs in three years, still offers them a lot of financial value. But under this rule, we would have to tell them no, and they’re stuck with the financial burden of paying extra money each month. If rates keep climbing, this military family would be stuck with that rate. In just four years, this situation could end up costing them an extra $4800 – $9,600!

At Low VA Rates, we have regular monthly experiences that serve as real evidence that the VA streamline loan prevents veterans from losing their homes or having to survive on credit card debt or payday loans. If the benefit of the VA IRRRL is taken away through legislation, many of our nation’s veterans will suffer.

To illustrate my point, I’ve included below just one specific email we received from a veteran who felt that refinancing his home was a “saving grace” for his family:

“You have saved my family, my most important asset in the world. You and the team at Low VA Rates believed in us when we didn’t even believe in ourselves. You and the underwriting team basically produced a miracle and we will forever be indebted to you and the team. Thank you again for hanging onto us for so long and believing in us. We, as vets, appreciate businesses that look out for us and for what we have sacrificed for everyone’s freedom, and it means so much. We love you all like family and if any of the team is in Augusta, GA, the door will always remain open. Take care and hope to keep in touch.”

Another reason why I find the 36 month requirement problematic is that there are readily available statistics showing that most homeowners in this country are only in their homes for about 3.5 – 5 years.

However, what if a veteran knows they are going to keep their house for longer and rates are at an all-time low (like they have been for the last few years)? Well, unless they can recoup the closing costs in 3 years, the government will prevent them from securing the lower rate.

Part of the problem is that the government, at least at first glance, has not defined what fees and costs are to be included in this recoup test. Because this is undefined, it could unfairly harm veterans depending on the state they live in and the time of year they refinance.

For example, the rule does not define if “closing costs” include the escrow funds for insurance or property taxes. In states like Texas and Florida where real estate taxes are much higher than average, a refinance that occurs before the property tax is paid out for the year would need to have thousands of additional dollars added to the escrow and deposited into the new loan. If these are then defined as being part of the “closing costs,” it would be almost impossible to recoup them in just three years.

As another example, the rule doesn’t address how things should be handled when a veteran decides to couple their refinance with a term decrease. Decreasing the term from a 30-year to a 15-year loan is one of the most amazing and advantageous ways for veterans to pay their mortgages off faster, but it would be difficult to recoup the upfront cost of making the switch in such a limited time frame.

Because of the lack of clarity regarding what would and would not count as closing costs, this rule could potentially kill the VA streamline loan in a way that is very similar to what has happened with FHA streamline loans. Do we really feel that veterans—those who have served this nation and given the ultimate sacrifice—should have the exact same benefits as everyone else? If so, where is the “benefit”?

Issues with the Required 2% Decrease for Refinancing to an ARM Loan

To start, I want to make it clear that we have no concerns with the .5% interest rate drop for the second recommended change. However, we do feel that there is a real issue with treating ARM loans differently.

At Low VA Rates, we are very proud supporters of the VA hybrid ARM. Not allowing lenders to offer it unless there is a full 2% drop in the interest rate is essentially lawmakers trying to quietly kill a very safe and beneficial program, especially when it is applied across the board to all VA ARM loans.

The VA has three types of hybrid ARM loans: one where rates are fixed for a three year term, one with rates fixed for a five year term, and one with rates fixed for a seven year term. I agree that the 2% reduction rule would be beneficial for the 3-1 hybrid ARM loan, but I am adamantly against requiring such a drop when going to a 5-1 or 7-1 ARM because of the negative impact it could have.

Here is an example of how this rule could negatively impact a veteran borrower:

A veteran has a 4.5% 30-year fixed rate loan of 250,000. Under these conditions, they would pay $1267.00 a month or $206,000 in interest over 30 years. In the first five years alone, they will have paid $52,000 in interest.

However, if the veteran were able to lower their rate to 2.75% on a 5-1 hybrid (a decrease which would not be allowed under the proposed rule because it only drops the interest rate 1.75%), they would only pay $32,000 in total interest. In this scenario, the monthly payment would also be $247 less each month!

In summary, the 2% rule in this specific scenario would prevent the veteran borrower from enjoying:

  • $247 in savings on their monthly mortgage payment
  • $20,000 in interest savings over the first 5 years
  • And the freedom to choose

Issues with Seasoning the Loan for Six Required Payments

I’ve made my opinion about loan seasoning requirements pretty clear in my other posts. However, compared to the other two aspects of this proposed legislation, I actually find this one to be the least harmful.

Least harmful, though, is not the same as good.

Essentially, the seasoning requirement allows veterans to be held hostage by a higher rate for six months while the loan seasons. As I’ve said before, both in this this article and in my prior ones, history has already proven this will happen.

This rule is ripe for allowing lenders to put veterans into even higher rates. Because veterans won’t be able to get out of a high rate for at least six months, lenders know they can make some extra money off them in that time, so of course they will take advantage of it.

Alternative Solutions to These Requirements

I recognize that there are a lot of valid concerns being brought up in regards to protecting our veterans from predatory lending practices. Though I’ve poked a lot of holes in this proposed legislation, I also want to offer alternative solutions that will work.

A Better Requirement for Recouping Closing Costs

Instead of only allowing 36 months for the loan to recoup the closing costs, I propose a break even that allows for 60 – 85 months. I would also urge that either the regulators, the VA, or Ginnie Mae clearly define what fees would be included in the recoup or net tangible benefit test (NTB).

My recommendation would be to not include what the mortgage industry calls prepaid items. If these were included, it would be very harmful and impact certain borrowers more than others (like those in states where real estate taxes or the cost to insure a home is much higher). The impact could even be significant enough that it could go against certain fair lending regulations.

A much more educated approach to the closing cost recoup test would be to make sure that it doesn’t include prepaid interest, the VA funding fee, and certain prepaid escrow funds. At Low VA Rates, we feel our veterans are smart enough to make their own decisions on closing costs, especially because not every veteran family has the same needs.

So, what fees should be included? My personal recommendation is for:

  • Origination and discount points
  • All title & 3rd party fees (credit report, flood cert., attorney fees, etc.)

And, though I’ve already discussed some of these, I feel that it’s worth repeating the fees I don’t think should be included:

  • VA funding fee
  • State fees
  • Taxes
  • Recording fees, etc.

Finally, I would also recommend that no impounds or escrow fees should be included. Or, if they are, we would mandate that the VA force the original lender to roll the existing impound account over into the new loan.

Apply the .5% Reduction Rule to All Loan Types

Instead of having a different interest rate drop requirement for ARM loans, the .5% reduction in rate requirement should be applied universally, regardless of whether the loan is an ARM or a fixed rate loan.

The VA hybrid ARM loan is safe, secure, and has allowed those that fight for our freedoms to make the choice as to where to put their hard-earned money each month. I myself have a 7-1 hybrid conventional ARM loan on my primary residence, and many other types of loans are generally adjustable, including student loans, credit card rates, and most home equity lines of credit.

So, if they’re generally safe, why do ARM loans get such a bad rap? Unfortunately, ARM loans have received a lot of negative press in the wake of the great recession caused by the housing collapse, but this reputation is mostly unfounded. At Low VA Rates, we know it was not the VA hybrid ARM loan that caused this collapse. It was actually the stated income loans and loans that allowed for negative amortization or interest-only payments.

Allow Veterans to Refinance When It Makes Sense

Instead of setting an arbitrary amount of time that a loan has to season, we should allow a veteran to refinance as soon as it makes sense, regardless of how many payments they’ve made.

It’s as simple and as easy as that.

But, to go just a bit further to clarify what I mean, I believe that the single easiest way to fix the related issues of loan churn and putting veterans into risky mortgages would be to require an appraisal on every VA IRRRL.

I would also recommend that lenders be required to pay for the appraisal, as this would discourage the few bad lenders from churning VA streamline loans since they would be fronting part of the cost in the form of the appraisal. In addition, having this requirement would also let veterans know their home’s value, and this knowledge would help keep them from getting upside-down on their mortgage.

And, it would make loan churning a thing of the past.

What the Future Holds for the VA Loan Program

Only time will tell how the general public, other lawmakers, and the industry will react to these proposed changes. However, in my opinion, changing the VA home loan program, especially when it has never needed a taxpayer bailout, is a travesty.

Early on in my professional career, I learned the truth of the old maxim, “if it ain’t broke, don’t fix it.” While I believe this is true of the VA home loan program, I realize not everyone agrees, and the underlying debate is about whether the program is broken or not.

While this debate continues to happen, we need to make sure that everyone involved is coming from the right place. For example, a lot of the discussion and proposed legislation have been based on the concerns of bondholders. However, their interests don’t always align with the interests of our veterans, simply because their only motivation is to get a better return on their bond investments. So instead of being concerned with their needs, everyone involved in this debate should focus on the needs of our veterans.

In addition, we should all also be considering the historical facts that serve as answers to the following questions:

  • Are VA foreclosures higher or lower than FHA, Conventional or USDA?
  • Has the federal government taken on more losses on VA loans or FHA?
  • How much did the government initially lose on the bailout of Fannie Mae and Freddie Mac?
    (Hint: The answer is $124,000,000,000.00.)

If you know the answer to these questions, it seems strange that, somehow, it’s the VA loan program that needs to be fixed. Hopefully, before it’s too late, we’re able to stop harmful legislation that hurts our veterans instead of helping them.

A Closer Look at Ginnie Mae’s 2017 APM on VA Refinance Churn

A magnifying glass sits on a document about refinance regulationsIt was with great anticipation that I waited, along with many of my industry partners, competitors, and experts, for Ginnie Mae’s next update on the pooling of VA refinance loans. If you aren’t familiar with this topic and how it relates to the controversial topic of mortgage churn, I strongly urge you to read my prior article on the topic.

My anticipation was finally rewarded on December 7, 2017, when my director of secondary markets emailed me Ginnie Mae’s press release announcing the issuance of APM 17-06.

As I read the press release, I wondered if I was still half asleep because it didn’t seem like anything new was being announced. It was all in line with APM 16-05, Ginnie Mae’s previous APM on loan pooling that was released more than a year ago on October 19, 2016.

Contradicting Information Leads to Confusion

I decided I would dig into this press release and wait to read the official APM when I actually arrived at my office. Once I was at work and started going through my inbox, I realized that many people were emailing me about their confusion regarding the press release and the APM.

Once I read through APM 17-06 (which, going forward, I will refer to as the VA Churn APM), I realized that a critical piece of information, because of differences in formatting and phrasing, contradicted part of the press release.

Analyzing the Press Release

In the press release, Ginnie Mae says, ” . . . streamline and cash out refinance loans can only be pooled . . . if six monthly payments have been made on the underlying loan and the refinance occurs no earlier than 210 days after the first monthly payment is made on the initial loan.”

If we examine the second condition of the above statement, the press release is saying that a refinance cannot close until 210 days after the buyer makes their first payment on the original loan. Generally speaking, the first payment isn’t due until one full month after the last day of the month in which the loan closes.

Analyzing the VA Churn APM

In the APM, the requirements for refinancing a VA loan are presented and worded differently, both of which change the meaning.

Firstly, the two conditions are separated into different list items.

Refinance is written on a calendar

Secondly, the condition itself actually says loans are eligible for refinance and inclusion in the standard Ginnie pools if “the first payment due date of the refinance loan occurs no earlier than 210 days after the first payment due date of the Initial Loan.”

Again, if examined in detail, the difference in meaning becomes more clear. Instead of saying the refinance can’t close until 210 days after the first payment on the original loan, it actually says the borrower just can’t pay on their new loan until 210 days have passed.

Because payment on a loan doesn’t occur until a full month after the end of the month the loan closed, a refinance could still close before 210 days and not have the first payment due for almost two full months, allowing the refinance to still meet this condition.

What Does It All Mean?

To put it in even simpler terms, the press release implies that a refinance can’t close until 210 days have passed while the APM implies that it could close around the 180 day mark, as long as the first payment on the refinance doesn’t occur for 210 days.

I wonder if Ginnie Mae realized this contradiction. The industry was already thoroughly confused about how to interpret what Ginnie wanted after APM 16-05 was released in 2016, and the subsequent media articles and statements only made things more confusing.

However, I am sure clarity will come in time. Even though Low VA Rates is not a direct Ginnie issuer, we work with some of the largest in the nation, and we have requested that these issuers work to secure more information and clarity on this APM.

Changes to VA Refinance Rules

Though the press release initially made it seem like nothing new would be announced in the VA Churn APM, once I dove in, I realized there were some important things being shared and clarified, so I wanted to discuss what these changes are and what their impact might be.

Bondholders, Not Veterans, Are Ginnie Mae’s Top Priority

A businessman chooses the square that says bondholdersThis one isn’t totally new, but I do think it deserves mentioning. As has been blatantly obvious, Ginnie Mae is mostly concerned with their mortgage-backed security (MBS) holders and the stability of the Ginnie program.

However, in the VA Churn APM, they make this even more clear when they state in the opening paragraph: “To ensure the strength and liquidity of our MBS Program, Ginnie Mae is continuing to address activities that result in unduly rapid prepayments to investors in Ginnie Mae mortgage-backed securities.”

While I commend Ginnie Mae for taking measures to protect the program, I have said before, and I’ll say it again, that veterans should also be protected. They deserve to be treated differently than other borrowers who have not served this country.

I think it’s fine to protect the interests of bondholders, as long as doing so doesn’t adversely affect a veteran. I hope that Ginnie Mae, the VA, and other stakeholders will eventually be able to find a way to protect both veteran borrowers and MBS investors, but only time will tell.

VA Cash-Out Loans Must Now Also Be Seasoned Just Like the VA IRRRL

The most clearly stated change to the prior pooling restrictions is the inclusion of VA cash-out refinance loans into the already enacted, and now more clearly stated, seasoning requirements. Last year’s APM really only addressed the seasoning requirements for the VA IRRRL.

In prior circulars and articles many people, including those at Ginnie Mae, felt that some lenders might have been sidestepping the seasoning requirement for VA IRRRLs by putting loans into a VA cash-out loan, even when the borrower didn’t need cash or equity from their home.

Though I have never personally seen this happen, it would be a blatant abuse of the system and the veteran if it did. VA cash-out refinances requires the added expense of an appraisal, in addition to much higher closing costs and a significantly larger VA funding fee.

VA cash-out refinance loans also require the veteran and the lender to put in a lot more effort. That’s why I highly doubt most lenders would use a cash-out refinance to sidestep the seasoning requirements for a VA IRRRL, especially since they could put the loan into a custom Ginnie Mae II pool with a lot less effort.

Like I said in my last article on VA mortgage churn, I believe the seasoning requirements are inherently flawed. I still maintain that this is true, regardless of whether they’re being applied to the VA IRRRL or cash-out loans.

Ginnie Mae Clarifies What Constitutes a Truly Seasoned Loan

In APM 16-05, Ginnie Mae stated, “Streamline refinances of loans on which fewer than six consecutive monthly payments have been made may only be delivered into Ginnie Mae II custom MBS pools.”

Maze of confusing refinance regulations

This was not clear to many lenders, and our research and experience at Low VA Rates has shown that more than a few Ginnie issuers were warned, fined, or otherwise penalized for innocently placing loans that had made six payments into standard Ginnie pools.

Because of the lack of clarity, some issuers believed that if a veteran made a double payment in the same month––or even if they had paid ahead or financed the sixth payment into the refinance––those would both count as fully seasoned loans. Apparently, Ginnie Mae didn’t agree.

Not only did this confusing requirement impact the lenders, it also had an impact on the veterans. There are plenty of instances where a veteran truly did make enough payments to meet the requirements, and instead of being placed in the seasoned pool to be refinanced at a better rate, they were placed in the Ginnie Mae II custom pool (which has higher costs and rates than the standard pool).

In the VA Churn APM, Ginnie clarifies the six payment rule by adding, “the first payment due date of the refinance loan occurs no earlier than 210 days after the first payment due date of the Initial Loan.”

With this clarification, Ginnie ensures that their bondholders will get no less than six interest payments. As already discussed, this was not always the case under APM 16-05.

The Possibility of a New Type of VA Refinance Loan

Perhaps the most interesting update in the VA Churn APM is regarding rate/term refinance loans. This type of loan does not currently exist in the VA loan program.

In the VA Churn APM, however, Ginnie Mae suggests that if a VA rate/term refinance loan option were to be created, and the loan itself was fully underwritten, then the restrictions regarding seasoning would not apply and the loan could be placed in a standard Ginnie I or II pool.

To put it simply, a borrower could refinance with a fully underwritten VA rate/term refinance loan before making six consecutive payments and without having to wait 210 days to make the first payment on their new refinanced mortgage.

To me, this feels like Ginnie Mae is foreshadowing that the VA has plans to roll out a fully underwritten rate/term refinance loan option, similar to the existing FHA and USDA rate/term refinance loans.

I have also personally spoken to officials at the DC office of the VA home loan program. Based on these conversations, together with the mention of rate/term refinance loans in the VA Churn APM, I am confident that the VA will make an announcement very soon about some proposed changes related to a VA rate/term refinance loan.

Because nothing official has been announced yet, we’ll just have to wait and see if the VA has forewarned the special task force of an upcoming fully underwritten VA rate/term refinance loan option.

It’s also important to note that, since this product does not exist yet, this portion of the APM currently has no actual impact on VA loans.

Enhanced Monitoring and Premium Loan Enforcement

At the end of the VA Churn APM, Ginnie Mae gives a stern warning to lenders that are, in my opinion, the most abusive to our veterans. I want to commend them for taking the initiative to issue this warning.

As I stated in my prior article, there are lenders who are placing our nation’s veterans into rates that exceed 5%. Not only is this overly harmful and aggressive, it is downright un-American! There is no reason at all to give a veteran a mortgage with a rate in the 5% range.

So why would a lender do this? In my opinion, there are only two reasons:

  1. To churn their own loans. If a lender puts a veteran in a loan at 5.25%, they’ll be able to refinance that veteran 2-3 more times, pocketing a share of the money each time. A small home sits in a tiny shopping cartEven if this is done at no direct cost to the veteran, it still hurts them because they’ve had to pay more each month on their mortgage because of the higher-than-necessary rates.

    In addition, lenders who churn their own loans also abuse the bondholder and harm Ginnie Mae.

  1. Greed. Putting a veteran at a rate 1%-2% higher than he needs helps the lender make more money off of the veteran’s loan. That’s greed, pure and simple, and it’s one of the reasons why veterans should shop around for their VA home loans.

As part of their enhanced monitoring and enforcement efforts in 2018, Ginnie Mae suggests that they will further revise their standards on pooling higher, premium rate loans.

I hope they follow through with this claim. As it stands now, higher rates allow lenders to make more money and bondholders to receive higher returns, but they do so at the cost of harming our veterans.

How to Solve the Problem

Though I don’t know exactly what these changes and restrictions will look like, if Ginnie Mae keeps their promise, they have the opportunity to solve two problems in one go. I hope they consider releasing guidelines that limit lenders from giving too high of a rate up front. In this scenario, the veteran would already be at a lower rate, which would prevent churning altogether. This would obviously:

  1. Protect the veteran from unnecessarily high rates, and
  2. Protect bondholders from having their returns negatively affected by churning

I also think that Ginnie Mae and/or the VA should add a restriction that prevents lenders from giving veterans a rate more than a percent higher than the average going rate.

However, despite Ginnie Mae’s promise to take a closer look at restricting premium loan rates, I am still afraid it won’t actually happen, and that would be a tragedy. But if veterans, lenders, and government representatives can stay in the ear of Michael Bright and Ginnie Mae, then we might see these changes happen.

Mortgage Churn: Why Vilifying the VA Streamline Loan Is Not the Answer

A home is in a cycle of refinance, representing mortgage churnRecently there has been a lot of discussion within the mortgage industry about “VA mortgage churn,” a current hot topic that is also called “VA serial refinancing.” In these discussions, I have seen a lot of bias, as well as the spreading of misinformation.

Two instances in particular stick out to me: an opinion piece by Joseph Murin that was published in October on National Mortgage News and the letter written in September by Senator Elizabeth Warren to the president of Ginnie Mae.

As the CEO of a mortgage lender who serves veterans, I was surprised and disappointed by what was said in both of these situations. I hope to be able to explain why their proposed solutions are both misleading and ineffective.

Opinion Based on Biased Business Interests

To understand my negative feelings about Joseph Murin’s article on National Mortgage News, one must first understand a bit about the lender that Mr. Murin represents. This lender primarily focuses on VA cash-out refinance mortgages, not the VA IRRRL (or “streamline refinance”) attacked in the article.

Mr. Murin is not transparent regarding this fact, which is why I found it interesting that in his article he advocated charging origination fees on loans that would directly profit his business, but not on loans that wouldn’t.

It is not clear in Mr. Murin’s article that the lender he works for has a vested interest in doing and promoting VA cash-out loans, nor is it clear how few streamline refinances they do annually. While I think it’s fine for a business to have specific products they focus on, it is misleading not to disclose them.

In this spirit of full disclosure, I want to make it clear that the company I represent, Low VA Rates, does focus heavily on VA IRRRL products. I have no problem being very transparent about this, and I believe it makes me more of an expert on them than Mr. Murin.

Most Veteran Complaints Are about Payments, Not Solicitations

Illustration of a wallet with worried expression holding up a houseIn Sen. Warren’s letter to the president of Ginnie Mae, she accuses unnamed lenders of potentially “mistreating veterans.” To back up this claim, she cites a November 2016 report from the CFPB that states there have been “complaints from veterans who believe that they are being targeted with aggressive solicitations by lenders to refinance using one of the VA programs.”

However, if one takes time to go over the data compiled in the CFPB report, one would see that the percent of complaints regarding solicitations has dropped since 2011. In fact, in 2016 less than 7% of all complaints from veterans to the CFPB had to do with receiving a credit offer to refinance their loan.

In contrast, over half of the 2016 complaints involved “making payments” or having “problems when . . . unable to pay.”

If Sen. Warren were truly worried about the veteran, she would have chosen to focus more on why veterans were not happy with making payments or how they were treated when struggling to make payments, instead of the smaller volume problem of offer solicitations.

The Truth about the VA Streamline Loan

Illustration of a hand representing refinancing pulls a house out of a pitThe VA IRRRL that has been so quickly villainized in the National Mortgage News article and other media publications was actually created to help struggling veterans lower their rates and payments. Not financially exploit them as Sen. Warren claims.

To use the definition found in Chapter 6 of the VA Lenders Handbook, a VA streamline refinance is a “VA-guaranteed loan made to refinance an existing VA-guaranteed loan, generally at a lower interest rate . . . and with lower principal and interest payments . . . ” (Emphasis added.)

In addition to helping veterans lower their mortgage payments, the VA streamline loan is also a great tool that can help keep all lenders honest.

For all of these reason, suggesting that the VA IRRRL should not be able to charge origination fees, as Mr. Murin does, or that it be submitted to overreaching legislation, like Sen. Warren wants, would not address the problem of VA mortgage churn. Instead, these “solutions” would actually create worse problems.

Bans & Excessive Legislation Harm Veterans

First, I want to make it clear that I don’t have anything against lenders who have built businesses around VA mortgage lending, since I am one of them. I even applaud all that the lender Mr. Murin works for has done to advertise and educate veterans on their 100% cash-out benefits.

However, recommending that origination fees should be banned for VA streamline loans simply because it benefits your business model is, to put it frankly, very disturbing because it makes it more difficult for veterans to lower the rates they’ve been given.

And how do I know that will be the result?

A man is chained to a house as he heads uphill towards higher rates

After Ginnie Mae issued new rules in February 2017 that made it harder and more expensive for veterans to streamline refinance their loans in the first 6 months, the VA loan industry immediately saw new VA home loans issued at much higher rates than before.

When veterans can’t refinance as soon or as easily as they’d like, they’re essentially “locked in” to whatever rate they’ve been given, at least until they’re finally able to refinance. And, as demonstrated by the rule change earlier this year, if lenders can lock veterans in to higher rates because of refinancing restrictions, then they will.

If Ginnie Mae places further restrictions on the frequency veterans are able to refinance their loans using the VA IRRRL as Sen. Warren seems to be calling for, it will actually lead to greater exploitation from lenders, as we’ve already seen with these types of restrictions.

And, even though Mr. Murin doesn’t seem to be advocating for legislation that directly limits the frequency a veteran is able to refinance, the result will be the same.

Businesses need financial stability, and for those that sell VA IRRRL products, the origination fee helps provide that. Removing it removes the incentive to offer the IRRRL product, and without that incentive, lenders are simply less likely to offer it, potentially locking veterans into higher rates for a longer time.

Why Ginnie Mae Added the New Rules

Despite the added expense and difficulty, many veterans—more than Ginnie Mae was expecting—still kept refinancing within the 6-month period. They wanted to refinance as a way to get out of the higher rates their lenders were trying to hold them hostage to.

So, if Ginnie Mae was really concerned about the financial welfare of veterans, why would they make a change that only ended up costing veterans more money and time?

The truth is that they weren’t actually worried about veterans.

Instead, they were more worried that the holders of the Ginnie Mae bonds, which these VA loans helped create, were not getting a good enough return on their investments.

Let me say that again: the main benefactors of making it more difficult for veterans to streamline their loans are holders of Ginnie Mae bonds.

In addition, lenders who have a business model of trying to lock veterans into higher rates also benefit.

Questions to Be Answered

I would like to pose some questions to Mr. Murin and Senator Warren, but something tells me that may not happen any further than the circulation of this article. However, if I could have a seat at a table with either of them, I would pose the following questions:

  • Why are some lenders putting veterans in mortgages with rates exceeding 4.75% when they could easily qualify for much lower rates?
  • What is Ginnie Mae or Senator Elizabeth Warren going to tell all the veterans that have been, and will continue to be, put into loans upward of 4.75% when that rate is paying the lender anywhere from 4-7% in premiums?
  • Because new VA loans decrease when they become harder to issue, what will Ginnie Mae tell their bondholders when the decrease in bond issuance leads to lower returns and a new-found appetite for more bonds?

A Better Solution to Protect Veterans

To truly address the underlying problem of mortgage churn—that lenders are taking financial advantage of veterans—we have to first identify the guilty lenders and hold them accountable. That way the IRRRL loan can continue to function as intended and not be hobbled by overreaching regulations.

Illustration of people being inspected as a representation of lender interest rates being scrutinizedOne way to do this is to have either Ginnie Mae or the VA’s newly created task force report the names of all lenders (including Low VA Rates) and the range of interest rates they give to veterans at closing.

I believe that this information would reveal that those who vilify the VA IRRRL are the ones who are charging higher interest rates. It would make sense because making an IRRRL more difficult would allow them to keep veterans locked in at higher rates, as already discussed.

Then, once the lenders offering high interest rates are identified, the solution could be to force them to give larger credits to the veteran. This solution works two-fold. First, veterans with higher rates still have financial protection because the rate is offset by the larger credit. Second, because the larger credit reduces the premium lenders earn from the higher interest rate, it removes the incentive to offer high interest rates in the first place.

However, since many of these decisions are driven by bondholders, I doubt this solution will be implemented, simply because bondholders only really care about getting higher rates of return.

So, as an alternate solution, Ginnie Mae could place a cap on the interest rate a lender can give a veteran. This cap could be tied to an easily followed index.

Let the VA Loan Program Continue to Succeed

Fannie Mae, Freddie Mac, and even the FHA mortgage program have all struggled financially. More than one of them has needed the American taxpayer to bail them out.

The VA loan program, in comparison, has never needed a cash infusion from anyone, and it has stood on its own two feet since its incorporation. Why mess with something that is not broken and is functioning, by all standard measures, better than any other program?

Top 10 Most Notable Women Veterans

2 female marines conduct a security patrol in Afghanistan, There is a compelling argument to be made that American women have been fighting battles and waging wars against gender-bias and socio-sexual mores since our country’s inception.

From the struggles for equality by “suffragettes” Lucretia Mott, Susan B. Anthony, and Elizabeth Cady Stanton in the early 20th century to Gloria Steinem and the birth of the modern feminist movement, women have been fighting for freedom as fervently and legitimately as many enlisted soldiers.

But as an unfortunate by-product of the groundbreaking successes of American feminism, history often overlooks those women who have served in uniform. The following is a list of some of the most famous women veterans in our history. We here at Low VA Rates want to thank these women for their courage and service.

  1. Yeoman Lorretta Walsh – In early March, 1917 Loretta Walsh became the first woman in the history of the United States to enlist in the armed forces and the first female petty officer of the Navy in 1917. Apparently, the events leading up to World War I were what inspired her to enlist. She served four years in the U.S. Naval Reserve and was one of the first female Naval officers to receive equal pay, benefits, and responsibilities to those of her male counterparts. A true revolutionary!
  2. Dr. Mary E. Walker – Dr. Mary E. Walker was the first and only woman to receive the Congressional Medal of Honor in U.S. history. She was awarded it for her miraculous diligence as a medic during the United States Civil War. However, after her involvement in the suffragette movement became known, she was stripped of her medal and asked for it back. True to character, however, Dr. Walker wore the medal proudly until her death, and the validity of the award was posthumously reinstated by President Jimmy Carter in 1977.
  3. Lt. Kara Hultgreen – Lieutenant Kara Hultgreen was the Navy’s first fully qualified female carrier-based fighter pilot. She was a Distinguished Naval Graduate of the Aviation Officer Candidate School, and earned the call-sign “Hulk” for her amazing strength. Hultgreen tragically died in a training accident in 1994 when her F-14 Tomcat crashed into the Pacific, but her exemplary willingness to serve has inspired countless women.
  4. Elizabeth C. Newcume – Like other trailblazing women throughout history, Elizabeth C. Newcume disguised herself as a man and served in the U.S. military for almost a year during the Mexican-American War. Her sex was discovered ten months later and she was discharged as a result. However, Newcume would later win back the service benefits promised her in her military contract, including land grants and back/hazard pay equal to that of a man’s..
  5. Margaret Corbin – Margaret Corbin was never officially enlisted in the armed forces, but that didn’t stop her from fighting for her independence during the Revolutionary War. She joined her husband and 600 other men in defending Fort Washington in 1776, taking over for him after he was wounded and unable to return to his post. Her ability to clean, load, and fire the cannons was like unto an enlisted officer. However, she sustained injuries in the battle left her permanently disabled. In 1779, the United States Congress awarded Corbin with some disability benefits, making her the first woman in America to receive any, including one-half soldiers pay and enlistment in the Corps of Invalids.
  6. Master Sergeant Barbara J Dulinsky – Master Dulinsky was a volunteer enlistee during the Vietnam War. In 1967, she became the first female Marine to serve in an active combat zone after reporting to the Military Assistance Command in Saigon.
  7. Clara Maass – Clara Maass was a contracted nurse for the United States Army whose service during the Spanish-American War was highly distinguished. She selflessly volunteered to undergo experimental treatment for a yellow fever outbreak after her retirement, which ultimately claimed her life but lead to the safety of many more lives. To honor her sacrifice, it was decided she would be the first woman ever immortalized on a U.S. postage stamp.
  8. Sgt. Esther Blake – Sgt. Esther Blake became the first woman to enlist in the United States Air Force within the first minute of the first hour women were granted the ability to do so in 1948. The USAF had been authorized as an official branch of the military just nine months earlier, making Blake not just the first woman but one of the first individuals ever to join the Air Force. She went on to serve 50 combat missions in the air, and has left an extraordinary legacy behind her of women serving.
  9. Annie G. Fox – Annie G. Fox was a member of the Army Nurse Corps who braved and survived the devastating attacks on Pearl Harbor. She was the first woman ever to be awarded the Purple Heart for her extreme valor, though at that time, the award qualifications did not require the recipient to have been wounded in battle. When the qualifications changed in 1932, Fox’s Purple Heart was replaced with a Bronze Star, since she was not actually wounded during the Pearl Harbor attack.
  10. PFC Maureen Daugherty – In April 1986 Daugherty became the first American woman to make a dangerous parachute drop into Bolivia. Just making the short list to be part of the Army Paratroopers was distinction enough, a tradition dating back to those who served in WWII at Normandy, France, featured in the critically acclaimed HBO miniseries “Band of Brothers’.

Thanking Our Female Veterans!

We at Low VA Rates are endlessly thankful for the women whose lives pioneered greater freedom and opportunity for generations of women to come. And we stand by and support the women we know and love today in their continued fight for equal rights, particularly those serving in the armed forces. Thank you for sacrificing your friends, family, careers, and lives to protect us. You inspire us every day to do more to serve veterans in our community and around the country. To learn more about what we do at Low VA Rates to give back to veterans, visit our website or give us a call today at 866-569-8272.

Top 5 Reasons to Use a VA Streamline Refinance

Using a VA streamline loan is a smart idea for anyone with the opportunity to do so. It offers a number of benefits to the veteran which will be presented in the following paragraphs. VA loans tend to have more flexibility and to be more attainable due to the fact that more lenders offer them. It is often easier for the veteran to qualify, making it a convenient choice compared to other types of loans. Here are just five of the main reasons to choose a VA streamline refinance!

Using a VA Streamline Loan

  1. The qualification process for a VA loan is much easier than for a conventional loan.
  2. Credit standards are much more flexible. When it comes to other loans, this is typically where many borrowers have trouble qualifying and getting a decent rate. The VA simply looks for a clear 12-month credit history. At Low VA Rates, we have no set minimum credit score requirement. We understand that credit score alone doesn’t prove whether a borrower is creditworthy or not.
  3. There is no down payment required. This payment could be used for many other things, such as investing in savings, paying off other debts, making a larger payment on the home later, or maybe taking a family trip! If the borrower chooses, they can make a down payment, but just keep in mind that it is not a requirement!
  4. The amount that the VA allows the veteran to qualify for is generally quite a bit larger than that of a conventional loan while also offering lower interest rates. (Rates follow the market, but can become even lower if the veteran does opt to make the optional down payment.) A veteran can get a home for up to $1 million and with $0 down! Most states in the United States have a loan limit of $417,000. However, in some states the max goes up to $625,500. Specific lenders in any state will allow higher loan amounts to fund, up to a maximum of $1,000,000.
  5. The government limits the amount that can be charged in closing costs, origination fees, and appraisal fees. There are also no mortgage premiums required. Lenders are prohibited from requiring one. This is because of the VA guarantee put on the loan.

VA Streamline Mortgage Requirements

Are you convinced that the VA IRRRL is right for you? In order to qualify for a VA loan, you must have served at least 90 days during wartime or 181 days during peacetime and have not been “dishonorably discharged.” Spouses (who have not remarried) of veterans who died in war or due to service-related wounds are also sometimes eligible to finance their homes with VA loans.

Another important qualification to remember is that VA streamline loans can only refinance current VA loans. This requirement has earned the VA IRRRL another nickname: VA-to-VA loan. If you do not currently have a VA loan but would like to refinance into one, you would need to do so through the VA cash-out refinance. But if you know you meet these requirements, then get started on the loan application process today. You don’t want to wait for interest rates to go up.

Allowable  Streamline Closing Costs

One of the many reasons to use a VA streamline as said above is that the VA actually forbids the borrower from paying certain closing costs. This gives VA home loans a huge advantage over just about any other loan type out there. By not paying certain closing costs that are generally required otherwise, you could be saving hundreds or even thousands. Let’s take a look at some closing costs that veteran borrowers are allowed to pay:

  • Survey
  • Recording fee
  • Origination fee
  • Title insurance
  • Credit report
  • Appraisal


The borrower is not allowed to pay for tax service, document fees, processing, escrow, underwriting, and other costs. But just because the borrower cannot pay them, that doesn’t mean these charges are simply free; they must be paid for somehow. These fees and even the allowable fees listed above can be paid for by either the lender or the seller of the home. Who pays what depends a lot on the individual situation. It is very common for the borrower to negotiate with the seller, offering to pay more for the home if the seller covers closing costs. Speak with your lender and real-estate agent about your options for covering closing costs to learn more.

Get Started Today

Veterans should take advantage of the VA loan if they can qualify for this option. Another perk for the veteran is that if they have any kind of service disability, they can look into getting their funding fees waived as well. There are so many benefits to VA streamline loans that it would be hard to not look into it. It is definitely one to take into consideration when buying a home. Call us now at 866-569-8272 to get started.


Top Military Generals of all Time

Narrowing down all the great military generals in history is difficult, but we think we’ve picked our favorite five. Some of these generals we’ve selected were viewed as good men while others are definitely some of the most infamous tyrants that ever lived. Military prowess doesn’t automatically equal moral prowess. Some of the generals who didn’t make our list include Julius Caeser, George Patton, King David of Israel, William the Conqueror, and William Wallace.

Top Military Generals in History

Below is a list of what could be considered some of the top military generals in history. There legacy’s have stood the test of time. Each of these men were unique in there own way but they all have one thing in common. They were all great military generals.


George Washington

George Washington Military ExperienceGeorge Washington was not just America’s first president; he was a beloved and revered general of the Colonial armies. What he was able to accomplish with the few men he had and the insurmountable odds he faced is truly amazing. That the United States exist at all is in large part due to his humble but steadfast leadership, both on and off the battlefield. George Washington need not have been the greatest strategist of all time: it was his character and bravery that inspired thousands of starved, ragged, unpaid soldiers to conquer the leading armies of the world at that time and give the ragtag English colonies their liberty.


George Washington was born on February 22, 1732, in Virginia. Throughout his life, he studied agriculture, geography, military history, mathematics, and surveying. In 1754, he led an expedition out west that was ultimately unsuccessful, but which prepared him for later expeditions along the Virginia frontier. He served in the House of Burgesses for seventeen years and was appointed commander in chief of the Continental Army in 1775. His appointment was largely due to his ability to inspire and unite the people. The Christmas attack of 1776 initially earned Washington his fame. With time, his meager army of 3,000 men grew until it could fully combat more than 34,000 British soldiers. In 1778, the French declared war on Britain and sent 7,000 men and 36 warships to support Washington and the colonies. In 1781, the British surrendered and the American Revolution came to an end.


Washington died when he was 67 years old, leaving behind a legacy of influence within the United States that is perhaps rivaled only by President Abraham Lincoln. Click here to learn about other U.S. Presidents with military experience.


Napoleon Bonaparte

Napoleon BonaparteNapoleon Bonaparte, or Napoleon I, is one of our great generals who was seen by those who opposed him as tyrannical and morally corrupt. He was the self-proclaimed emperor of France for more than two decades, and in his time, managed to conquer most of the European continent. At one point, he even had dominion in parts of Africa and Asia.


Napoleon was born in 1796 and had a fairly standard childhood. As a teenager, he attended military school, where his military brilliance first began to shine and from which he became a graduate at the age of 16. He was promoted to second lieutenant in the French army in charge of artillery and soon made his way up the chain of command. His many victories at such a young age earned him the position of general when he was just 26 years old. During this time, he was also given command of the Italian army. Napoleon’s army of 40,000 men gained victories against the Austrians at Castiglione, Arcola, Lodi, and Rivoli. His victories led him to control most of Austria and Italy as a result. In 1799, Napoleon organized a coup against the French government and declared himself the First Consul of the Republic. In 1804, his military victories and high public approval led him to declare himself the first Emperor of France.


Even after defeating the Austrians in Ulm, the Austro-Russian army, the Prussians at Jena, and the Russians at Friedland, Napoleon was unsatisfied with the power he had gained. He went on to block British supply routes and take over Portugal in the Peninsular War. This war proved disastrous for the French, claiming nearly 300,000 lives. In April of 1814, Napoleon was defeated and banished to the island of Elba, from which he escaped about a year later. However, his freedom lasted only about 100 days, after which he was caught again and exiled this time to the British Isle of St. Helena. There Napoleon died of stomach cancer at the age of 51 on May 5, 1821.


Napoleon’s relentless victories inspired and continue to inspire military leaders all over the world. He excelled at adapting to circumstance and taking chances and often let his commanders self-govern when the situation permitted. But another thing that might have contributed to his great success was a possible inferiority complex: Napoleon has often been mocked throughout history as being small in stature, growing to just 5 feet, 6 inches.


Genghis Khan

Genghis KhanGenghis Khan was born in 1162 in what is known today as Mongolia, which he came to rule in 1206. He rose to power after uniting the nomadic tribes in Northeast Asia and championing the Mongol invasions. In 1211, Khan entered war with the Chin Dynasty and invaded central Asia in 1219, effectively decimating the Chin Empire. He would go on to rule over the largest empire ever known: the Mongol Empire.


Khan is revered for his brilliant lines of attack and organization methods. His armies were some of the most obedient and efficient in the world’s history. Without him, there would be no Mongolia, and as a result, the Mongols revere him as their founding father.


He is also famed for his adoption of the Uyghyr scripts, which would become the Mongol Empire’s main system of writing. Genghis Khan is one of the generals on our list known for his brutality and many genocides, but no one can deny that what he did was effective.


Alexander the Great

Alexander the GreatAlexander the Great was the king of Macedon, a kingdom of ancient Greece. He was tutored by the philosopher Aristotle and lead a hugely successful military campaign against Asia and northeast Africa for most of his life. His kingship began at the tender age of twenty, which proved no barrier to his military accomplishments. He is credited with establishing one of the largest empires in history and for being undefeated in battle.


His exploits began in 334 BC when he invaded the Persian Empire in honor of his father, which proved victorious thanks to his brilliant tactics at the battles of Issus and Gaugamela. With the Persian King Darius III overthrown, Alexander conquered the Persian empire and went on to battle his way through the continent for a period of ten years. He invaded India in 326 BC and died in Babylon just three years later. Though his empire fell due to numerous civil wars, Alexander’s influenced reached far and wide, and his military tactics are still studied today.



Hannibal Barca

Hannibal BarcaAlso known simply as Hannibal, Hannibal Barca was a Punic leader from Carthage and was frequently referred to as the Roman Empire’s greatest nemesis. He emerged onto the public scene during the Second Punic War in Italy. His marches became famous for their use of war elephants and he won three major victories at the Trebia, Lake Trasimene, and Cannae. His genius was in evaluating the strengths and weaknesses both of himself and his opponents and then utilizing each to his advantage. Many allies of the Roman Empire recognized this in Hannibal and abandoned Caesar to fight alongside him.


While Hannibal’s occupation of large portions of Italy lasted fifteen years, in the end, he was unsuccessful in his attempts to conquer Rome. He was defeated by Scipio Africanus, another excellent general of the time, and would go on to serve in various political and military functions until his death by suicide.




What Do You Think?

Do you agree with our list of top military generals in history ? Who did we leave out? Who do you think is the greatest military general of all time? Comment below and let us know!


VA Hybrid Loan Pros and Cons

The current economic downturn has put many homeowners in financial hardship. With many people being financially strapped, a good question to ask is whether or not the VA hybrid loan is a good option for saving money. For some, this loan gives them just the right amount of flexibility in their mortgage and for others, it simply isn’t the right choice. Before you write off this option, take a look at some of the VA hybrid loan pros and cons.

VA Hybrid Loan Pros and Cons

A VA hybrid ARM is a combination of an adjustable rate mortgage (ARM) and a fixed-rate mortgage. The initial rate period is fixed, usually for the first 3, 5, 7, or 10 years of the loan. Generally, the shorter the chosen fixed-rate period, the lower the rate. After the introductory period is over, the adjustable rate begins. When the borrower reaches the adjustable-rate period, the rate can only adjust every 12 months, and adjustment rate caps protect the borrower from the rate jumping too high right off the bat. There are also lifetime caps of 5 percent in place so that the loan will never exceed their fixed rate plus 5 percent. For example, if you were to get a 2.75 percent interest rate with a VA 3 1 hybrid loan, the loan would never be able to reach more than 7.75 percent interest, and it also could not rise more than 1 percent each year.

Many veterans might be uncertain about this type of loan because of what may happen with interest rates in the future. While it is good to be cautious, present financial issues may be more important than future costs. This loan allows for monthly savings right now, which could allow for savings later as well. There are pros and cons to every loan option. Borrowers must look at each side and decide which is the right alternative for them and their current situation.

Pros of the VA Hybrid

However, there are definitely some advantages to the hybrid ARM! First of all, the borrower will get a guaranteed fixed rate for the first 3 to 5 years or however long they opt for. Then after that, the rate can only adjust every 12 months, and keep in mind that the rate can go down during this time as well! Perhaps one of the biggest advantages of the hybrid ARM mortgage is that the interest rate can drop frequently (within the caps limits, of course). It is entirely possible for you to have a very low rate throughout the life of your loan. And even if the rate rose every once in a while, wouldn’t that be worth taking advantage of the much lower rates whenever they come along?

Many homeowners may choose this option for a loan because it doesn’t makes sense to pay a fixed rate for thirty years when they will mostly likely move out of their homes and loans before then anyway. It’s also important to note that if the borrower is looking for a jumbo loan, an ARM is probably the best choice for them. It will offer them substantial savings over a thirty-year loan because the rates are normally quite a bit higher with ordinary jumbos while jumbo hybrid ARM rates are generally much lower.

Cons of the VA Hybrid

There are a few disadvantages that need to be kept in mind. If the interest rates skyrocket after the introductory period, the borrower could end up paying a considerably larger interest rate over the life of the loan. That being said the VA has put in place some safety nets for veterans. If rates do happen to go up, interest rates on a VA ARM loan can only go up a maximum of 1% a year with a maximum of a 5% cap. So if interest rates do go up five consecutive years the maximum that can be applied to the loan is an additional 5%. This makes the VA hybrid a relatively safe loan options for veterans.  On the flip side, if the borrower chooses a long fixed rate period and the market’s interest rates drop, then they will end up stuck in their high fixed rate. It can go both ways. When financing with a VA hybrid loan, the borrower has to accept the interest rate risk after the fixed-rate period. The uncertainty that comes with the VA ARM portion of a hybrid loan is what generally keeps borrowers away from this type of loan, especially if they know they will be in their house for much longer than the initial fixed-rate period.

Are you thinking about getting a VA Hybrid Loan?

The VA Hybrid ARM Loan offers safety and savings.  This is a combination that is hard to pass up. Yet borrowers still need to decide which loan option is the best for them. To know whether this loan would be best for you in your individual situation, give us a call now at 866-569-8272. We can set you up with a loan officer who can give you an accurate quote and great advice to help you decide. At Low VA Rates, we make it a priority and a policy to save every borrower money on their home.


VA Interest Rates Stay Low Thanks to FED Chief Bernanke

If you are one of many Veterans or Military Home Owners and have an interest rate at 3.75% or higher, then please pay close attention. It could be perceived as your PATRIOTIC duty, to take advantage of the VA IRRRL or Interest Rate Reduction Refinance Loan. Never before in the history of our country have we had a Federal Reserve that has done so much to keep interest rates on VA home loans so low. On 9-13-12 The FED committed to buy an additional 40,000,000,000.00 of mortgage bonds (that is a lot!) every single month until further notice.

By purchasing these mortgage backed securities (MBS) the FED is essentially forcing interest rates on home loans to stay low. The current rate for a VA 30 yr fixed rate loan is somewhere between 3.25% to 3.75%. Both of these rates are going to allow most of our readers to see VA mortgage payment decreases of anywhere from $75-$350 a month. If you are not familiar with the VA IRRRL or VA streamline loan please keep reading our blog as you are sure to get more information.

Have you ever wondered why the FED would want to keep interest rates low for so long? Well as most home owners are aware, our country has been struggling to recover from the housing collapse and very high unemployment. Just imagine if you are saving $150 a month plus when you refinance you normally skip a payment or two, that means lots of extra money in your possession now. Well if hundreds of thousands of people refinance each month, then MILLIONS and MILLIONS of dollars will flow back into the economy. This is called Stimulus.

So if you have a VA loan and an interest rate over 4%, start looking into a refinance. The FED wants you to do it, of course our loan officers here at Low VA Rates want you to also. But, research on your own and make the decision that is best for you and GOOD LUCK.

Protecting Your Home from Fire

In 2009, 85% of fire deaths in the U.S. occurred in the home. When it comes to house fires, the most dangerous time occurs between the hours of 11 p.m. and 7 a.m. Over 50% of house fires resulting in death happened during these hours. Victims of house fires usually die of smoke inhalation or toxic gases, not burns. There should be a fire escape plan made ahead of time and a home fire drill at least twice a year.


Inside Safety


Don’t smoke in bed or when you are tired. Ashtrays should be large, and butts and ashes should be wet before throwing them in a trash can. Put a smoke alarm on every floor of the home and inside or near sleeping areas. Cooking areas should be clean and uncluttered, and never leave a cooking pan alone.

When using candles, don’t leave them burning while away. Keep them far from flammable materials, and use a non-flammable candleholder. Appliances need a three-foot combustible-free zone.


Outside Safety


Keeping the outside of your home safe is also important. Create an open space of about 30-100 feet around the house to lower the chances of home ignition from a wildfire. Prune trees so the lowest branches are no lower than 6-10 feet. Trees with oils, wax or resins should be removed from this area because they readily burn. These include:


• Ornamental junipers

• Young pine trees

• Holly trees

• Red Cedar trees


Housing Materials


Build your home with fire-resistant materials. Use Class A roofing materials, such as asphalt shingles, metal slate or clay tile. Use tempered and double-pane glass for windows. Fire-resistant home construction materials should be used, such as brick, cement, plaster, stucco and concrete. Fire- resistant materials should also be used for home attachments, such as decks, porches and fences.


These tips will drastically reduce your risk of a home fire. Preparation and safety make a big difference when it comes to keeping your family safe.

With temperatures on the rise and drought in much of the U.S, the ground is a lot more drier than in recent years and we are seeing more and more fires blazing up across the U.S. Because of this, we decided that an infographic on fire safety in and around your home may be helpful. We hope you enjoy the infographic below. Thanks for sharing!
Continue reading “Protecting Your Home from Fire”

US Credit Rating Downgraded

How does the downgrading of the US credit rating affect VA interest rates?


Over the weekend, S&P, one of three main credit rating agencies, decided to downgrade the United States to an AA+ rating from an AAA for the first time in almost 80 yrs.  Many potential home buyers or people looking or thinking about refinancing may wonder what this means for them.  We will address specifically Veterans and VA rates today, but the post can be applied to anyone.

Over the weekend, many market analysts and gurus were trying to guess and predict what would happen to interest rates in response to the credit downgrade.  If you were to read a book on the economy or bet on the most likely outcome, you would have predicted, just like the pros, that interest rates would be higher today.  Here is how you look at why that would happen.  Suppose you were lending someone money who had perfect credit and no likelihood of not being able to pay you back, it was almost guaranteed you would get your money back plus the interest.  You would probably give them a very low and stable interest rate in return for them not being a risk to you or your money.  Now suppose that you had a very good reason to believe that the once perfect credit person you were lending money to, would perhaps not be able to pay you or would maybe miss some payments here or there?  Would you want to keep lending them money at the same interest rate or even the same large amounts?  Most likely no!

Well, this is how countries, investors, and institutions that were buying US treasuries were expected to react this morning.  One would think they would all start taking money back from the US and this would in turn put the US in a tough position and would ultimately increase interest rates.  However, interestingly enough money poured into US treasuries today and drove VA interest rates lower!

One thing that is worth noting however is that VA mortgage lenders did not pass on a lot of the gains interest rates had today, but instead are in essence sitting on the sidelines to see what happens tomorrow.  Normally with as big of a rate rally as we had today interest rates on VA loans would have gotten better than they have, but VA mortgage lenders are waiting to see what tomorrow brings.  The Federal Reserve has their FOMC meeting on interest rates tomorrow too!

Here is to lower VA interest going forward.

How to Shop for the Best VA Streamline Deal Among Lenders

Lately, it seems more and more VA homeowners (people with VA home loans from the Dept of Veterans Affairs) are shopping around and getting lenders to compete for their loans.  This is a very good sign on the surface and I am glad to see a more educated homeowner than in years past.

Unfortunately, however, there are lenders out there who know how to trick our Veterans into thinking they are getting the best deal, when in all reality, they are not!  I am hopeful that this blog post will shed some light and make the consumer (our military homeowners or even buyers) more intelligent and ready to shop for the best VA Streamline Rate as possible.

You need to understand some key terms first:

Consumer paid vs Lender paid- Since April 2011, it is illegal for a loan originator to make money on a loan from charging the borrower an origination fee or charge and having compensation directly from the lender.  A loan officer can charge you origination charges and have you pay him/her for doing the loan or the lender can pay the loan officer and he/she will charge you nothing

Origination fees– Any fee paid to the lender or the originator by the borrower. Normally the 1% origination fee charged by the loan officer and then any underwriting or processing fees.

Discount points– fees paid for by the homeowner to buy down to a lower than market interest rate.  VA loans can allow for up to 2 discount points or 2% to be paid by the Veteran

3rd party fees-These fees are on every loan and have to be paid for by the borrower on all Lender Paid transactions.  Do not be fooled, if you are told there are no 3rd party fees or do not see fees like, title insurance, title exam, escrow, notary, signing, tax, stamps etc then run for the hills; you are dealing with Mr. Shady!

Pre-paid and escrows/impounds– All VA loans will require an escrow account be set up and pre-funded at the time of closing.  In addition to having an escrow account cost associated with your loan, you will also see pre-paid interest on your loan.

APR- Annual Percentage Rate. The annual rate that is charged for borrowing expressed as a single percentage number that represents the actual yearly cost of funds over the term of a loan. This includes any fees or additional costs associated with the transaction.

Good Faith Estimate– The form given to you where all origination fees, 3rd party fees, and prepaid interest and escrows are broken down for your viewing and research.
The best way to ensure you are getting the absolute best possible deal on your VA streamline loan is to compare the APR of all of your offers and also the ADJUSTED ORIGINATION CHARGE!  The video above explains this a bit better, however just ask your loan officer to indicate very visibly on your forms or paperwork, what your adjusted origination charge is.  The lower the adjusted origination charge, the cheaper the cost of that loan.

If you are shopping a loan here at Low VA Rates, we invite you to challenge us to our $250 APR guarantee.  We will gladly pay you $250 if we cannot beat the best deal you can find.

Veterans Beware of VA Streamline Sales Tricks

As a branch manager here at Low VA Rates, I constantly talk to Veteran or military homeowners who are skeptical about VA streamline offers they are getting in the mail, on the internet, over the phone and even some in their home from a live person.  In many cases, the information being given or received is legit, clear and straightforward.  Unfortunately, we do sometimes hear about information that is being shared from a loan officer, telemarketer, or another bank employee that is not completely true and at times, downright illegal!

I hope to be able to share today some tips or tricks for anyone looking to refinance a VA loan via the VA streamline loan program so that regardless of who you are using or intend to use, you can feel a bit better about what you are being told.  Here are the basic facts about a VA streamline loan that pretty much all marketing pieces you get or see will outline:

  • No appraisal (true by VA rules, but most lenders will require one.  Low VA Rates does NOT require one)
  • No credit score minimum (true by VA rules but almost always each bank/lender will want some sort of minimum) Low VA Rates is case by case and has approved below 550 FICO scores on a VA streamline.
  • No employment/income verification needed. (again true by VA) We will want to make sure you are employed or receive disability or SS or something.
  • We have been told Mortgage Investors Corporation or MIC regularly requires money out of pocket or upfront.  Again, this is allowed, but we do not see any need to do this.

Now here are some tricks or things to use to try and discover if someone is being deceptive or planning a bait and switch:

  • If the lender wants money upfront or out of pocket at the time of application. (VA does not require this and there is no reason for it) If you are being asked for money or a deposit up front, history has shown this is almost always a sign of bad things to come.
  • If the lender tells you they can close you in 5-7 days this is almost always to lure you in.  Can a streamline loan close that fast?  Yes, but normally speaking it is not possible.

The VA streamline loan is by far the most popular loan around today for Veterans and military homeowners.  You, of course, have to have a VA loan now to take advantage of this VA IRRRL or Interest Rate Reduction Refinance Loan.  Please apply on our site or give us a call if you have any questions.  We look forward to assisting you.

Low VA Mortgage Rates Stay Low, VERY LOW VA RATE

It seems like I have been telling people for the past 2 years or so that VA interest rates were not going to be going any lower.  There were many times that in that window of time that I was right, however, overall rates, VA rates especially, have continued to go lower and stay low.  It’s the times like right now when I wish for many reasons I had the benefit and blessing of a VA loan.

I bought my home in 2007 and even put down 20% on the purchase of the home.  Bad news for me is not only is all that equity was gone, but I am also stuck at 6.5% rate even though interest rates are at 4.25% for 30 years or 3.25% on the hybrid loan.  I could be saving literally $800 a month or more if I could streamline refinance, but that is not available on a conventional loan.

What is so amazing about the VA mortgage streamline refinance is that you can refinance even if your home has no value or equity.  You could have bought your home in 2007 at 250,000 and now it is worth 175,000, but you can still streamline your VA loan.  Perhaps the downturn in the US economy has affected your credit rating or FICO score?  If this is the case, as bad as that can be, it does NOT disqualify you from the VA streamline program.

Some of the benefits of these extremely low VA rates today are:

  • lots of savings monthly from streamlining
  • easier to decide to streamline
  • the streamline allows you to skip some mortgage payments if done correctly
  • and many more.

If you have a VA mortgage please apply here or give us a call at 866-569-8272 so we can show you what the VA streamline can do for you.

VA loans with Citi mortgage? Check with Low VA Rates

Something that most military homeowners are not aware of is that brokers or mortgage companies that have access to wholesale rates sheets can get them a much lower rate than if they (Veteran) were to call Citi mortgage themselves.  This may not make a lot of sense on the surface but if you have ever shopped at Costco or Sam’s club then this example may help.

Why can Costco sell you a bottle of shampoo cheaper than if you were to go directly to let’s say Johnson and Johnson’s website and buy it directly from the supplier?  The answer is simple.  Costco has negotiated huge discounts due to the volume of shampoo they buy, due to the fact that they (Costco) spend money marketing and selling the shampoo and now this is money that Johnson and Johnson will not have to pay to move their product.

VA mortgage loans are very similar.  Citibank, of course, has its own loan officers, branches and offices and is certainly willing to do their own loans through what is referred to as a “retail channel.”  A retail location is like the Citi bank on the corner or in the shopping plaza.  If you were to call Citi mortgage directly as a consumer you will work with their retail division and get great service and decent rates.  However, if you call Low VA Rates or any other broker that has access to Citimortgage’s wholesale rates, you will get a much lower rate.

I am not a veteran and do not have a VA loan of course.  My entire mortgage profession has been spent working on VA loans and assisting military families with their home loans.  The other day Citimortgage contacted me directly because I have a loan with them on a rental property of mine and they asked me if I wanted to refinance.  I will keep this story short, but the rep at Wells when I showed him what wholesale rates I could get on my own, simply told me he could not compete and I should do it myself.

So for those of you with VA loans at Citi what does this mean to you?  I am not trying to suggest that Citimortgage is ripping you off or that you should not refinance straight through the retail loan officer, but I do want to make you aware of your options and suggest seeing what Citi mortgage can do for you and then contacting Low VA Rates or another broker and see what they can do for you.

There has never been a better time than now to streamline your VA loan and take advantage of seriously low VA interest rates.  Low VA Rates is dedicated to assisting you with any VA home loan questions you may have.

The VA Streamline in California

The (IRRRL) can Save Military Personnel Big Bucks Every Month


There are so many servicemen and women, and retired veterans who are struggling, financially, in our current economy. Many of them are trying to find ways that will help them pay their bills and put food on their tables every month. A program called the VA streamline will allow them to refinance their VA loans, with very little qualifying. It will help lessen their monthly financial struggles.

Why the VA streamline loan program?

The VA streamline in California loan program, which is also known as the Interest Rate Reduction Loan (IRRRL), is designed to help our military men and women, along with veterans, to refinance their VA loans easily and fast. This loan can usually reduce their monthly mortgage payments by hundreds of dollars if not more.

By refinancing, there will be more money for military personnel and their families each month. They will be able to afford the necessities that they need without financially struggling. It will just make life a whole lot easier.

Besides lowering the interest rate, the IRRL can be a useful tool to refinance an adjustable rate loan to a fixed one. It can also be used to get a 15-year loan, instead of having a 30-year loan.

Simple qualifications

Simple qualifications have been put in place so that almost any military personnel who applies will get approved. Basically, if you have a VA loan, a 600 or higher credit score, have not been 30 days late on your current VA loan in the past year and had your loan for at least ninety days, you will qualify. There are no prepayment penalties with the VA streamline in California IRRRL, no upfront fees and the cost of refinancing can be put back into the loan. The refinancing cost is lower than usual.

If you lost your job, you can still qualify

Even if you have lost your job, have no income, no savings, and no assets, have judgments, liens or if you are in collections for back monies owed, you can still be approved.

Take advantage of the low-interest rates

The VA streamline loan is a government-backed loan. Active duty men and women or veterans can be approved very fast and hassle free. With the interest rates at an almost low historical level, taking advantage of this loan would be a great way for them to have extra money in their pockets each month.

If previously tried to refinance, try again: New rules

The VA streamline in California IRRRL is the best loan on the market today. If any military personnel has tried previously to refinance and did not qualify, reapplying would be the thing to do. Some of the rules have been changed making it easier than before to refinance.

VA Streamline: Rock Bottom Interest Rates

Save Military Personnel Possibly Hundreds Monthly

Many Americans are trying to save money any way they can. Cutting costs by stretching their dollar on food, clothing and medicine helps. But, being able to reduce large expenses on a monthly basis, would be the most help. A lot of people have refinanced their homes. Now, with the VA interest rates hitting close to or being at rock bottom, active or inactive servicemen and women who currently have a VA loan, can save big money every month. They can refinance their existing VA loans under the VA Streamline Refinance Program.

A 620 FICO Score or Home Appraisal No Longer Needed

If you have already tried to refinance under this loan program and failed, it would most likely benefit you to try to refinance again. As of April 18, 2011, the rules have changed for refinancing with the VA Streamline Refinance Program. Previous failed attempts might not be a problem for you now. This loan addresses the difficulties with your current VA loan being more than what your home is worth.

Some VA interest rates are as low as 2.75 percent with an APR of 2.45 percent. These rates are historically at low amounts. In many cases, hundreds of dollars can be saved each month on your mortgage payment.

Quick and Easy Loan Approval

The VA Streamline Refinance Program is designed for active and inactive military personnel to take advantage of the very low-interest rates. It was set up to make it easy and quick. Also, there are some places that will pre-approve you in just 60 seconds.

Other qualifying features that this loan has are:

Your existing VA loan has to be up to date on its monthly payments. You can not be behind.

There cannot be more than one-30-day late mortgage payment made on your existing VA loan within the last 12 months.

Employment and income verification will probably be needed.

A refund of your existing escrow account can be made to you.

You cannot receive any cash back funds from the refinance.

After the loan is approved, you can skip up to two monthly payments.

American military personnel and their families can widely benefit from the VA Streamline refinance of their existing VA loan, especially since the VA interest rates are very low. It will just save a lot of money each month for them. They can use the financial boost to help get caught up on other important bills. Families can stop skimping on their food, clothing and medicine expenses. Reducing monthly mortgage expenses will ease the money crunch that seems to be never ending.

VA Streamline With No Appraisal

There are different kinds of loans that will enable a homeowner to lower their interest rate. By lowering their interest rate, they’ll also be able to lower their monthly payment. Veterans get a benefit that others don’t. That’s the VA streamline loan, also known as the Interest Rate Reduction Refinancing Loan. Best of all, it’s possible to get a VA streamline with no appraisal.

VA loan holders used to be able to refinance their homes with VA streamline loans very easily. Appraisals weren’t done and credit histories weren’t pulled. But that all changed when the housing market crashed. As the economy suffered, so did real estate. VA streamline loans were impossible to get if someone was upside down in their mortgage or who had a low FICO or credit score.

Effective April 18th of 2011, it’s entirely possible to get a VA streamline with no appraisal. So, what does that mean? It means that a person can easily qualify for one of these loans which could lower their interest rate by 1% or even more. Depending on what the house is valued at, a 1% decrease can mean hundreds of dollars in savings every month.

VA Streamline Loan Benefits

There are many reasons to get a VA streamline loan. There are many benefits, too. Let’s take a look at some of the main ones.

– No out of pocket money – closing costs and other fees can be rolled into the total amount that’s being refinanced

– Low-interest rates – Enjoy rates that are lower than what the rest of the American population can get because of being a veteran

– Locked in rates – It’s not a variable rate, which means you’re locked into the low rate no matter what

After serving your country, you deserve some great benefits as a Veteran. Being a veteran entitles you to the VA streamline loan. As long as your mortgage was done with a VA loan, you’ll meet the qualifications. Without having a home appraisal or credit check, means that you’re more likely to qualify for the loan.

A VA streamline loan with no appraisal is a best case scenario when deciding to refinance your home. Many companies offer low rates, but they aren’t as low as what you can get with a VA streamline. After all, they’re designed to reward veterans. Taking advantage of this kind of opportunity will ensure that you are rewarded with a great rate that surpasses what many people in America are getting. Plus, refinancing is a much better option of getting out of a tough financial situation than bankruptcy or foreclosure.

Getting a VA streamline is much easier since April 18th. Low VA rates are just a click away. You’ll be able to fill out the application and get a response quickly. When there’s no dependency on credit checks and appraisals, you’ll be able to get a response quicker than ever. You’ll then be able to start saving money once your rate goes down.

VA Streamlines Do Not Require An Appraisal Of Home Value

Effective April 18, 2011!!!!

With interest rates still very low, many homeowners are refinancing their mortgages to get lower finance rates. They face a ton of paperwork and documentation. The process can last a while, need a new appraisal and generally be a pain in the neck. Of special concern is the appraisal as so many home owner’s properties have seen values reduced to a number lower than their mortgage. A 1% reduction can save you $100 to $600 per month with no out-of-pocket expenses.

Fortunately, under the VA Streamline Program, Veteran’s Administration mortgage borrowers can refinance their property without an appraisal. Countless number of veterans and active duty military members are fortunate to take part in the United States Department of Veteran’s Affairs Streamlines Mortgage Financing program. The program is sometimes called IRRRL, an acronym for Interest Rate Reduction Refinancing Loan.

The VA Streamlines is truly an express loan:

No appraisal needed
No income or employment verification required
No credit report required
There is no need for a termite inspection
Loans close quickly

However, even though the Veteran’s Administration backs the loan and doesn’t require any of the above items, you must shop for lenders as some require appraisals and credit reports.

Your existing Veteran’s Administration loan must be paid on time for the past 12 months and current when you apply for refinancing. Additionally, you may only refinance an existing Veteran’s Administration loan with this program.

Veteran’s cannot refinance for a higher amount that the refinanced mortgage, in other words, no cash back to the borrower. The exception to this is the borrower may add up to $6,000 for energy efficiency improvements and add any loan origination costs too. Be careful though, as this will raise your monthly payment than a straight refinancing. In addition, some lenders may want you to look at a 15-year term for the Streamline as it will save you tens of thousands of dollars in interest. But, the monthly payment will be much higher as you are repaying much more principle than if you write a thirty-year repayment plan refinancing. Make sure you can afford the payments as your home is at stake.

The occupancy requirement for a Veteran’s Administration Streamline is different from your original Veteran’s Administration mortgage loan. For the original loan, you had to certify that you would be occupying the home, for an IRRR loan you are only required to certify that at one time you lived at the property.

An additional feature of Veteran Affair Streamline refinancing is that you may skip up to two payments over the life of the loan – they are put at the back-end of your loan.

There is no better-refinancing program available than the VA Streamlines program. With little paperwork, no out of pocket expenses as you can roll closing costs into the loan and the potential to significantly cut your monthly mortgage payment. This is a loan that you should explore at once. It could save you a bundle of money.

Security Alarms for Military Home Owners

Unfortunately, not only has crime increased on military housing bases all over the U.S. but so too has the worry on one partner who is alone with the home and children for long periods of time while their marital partner is deployed.

Below are some links that will guide you to purchasing security alarms for military homeowners:

1. SecurityChoice has special packages for military housing. Their services include wireless keypad and motion detector. works in conjunction with Clark Pinnacle, which is part of a private partnership with the Army and Navy developed to plan housing units across the United States. You can reach Security Choice at 1-888-803-1938.

2. SimpliSafe  is a respected DIY (do-it-yourself) security system. features entry sensors for doors and windows, motion sensors, panic buttons and keychain remotes. They also offer Cellular Link to Emergency Dispatch. This means that should a burglar “cut” the phone lines, he or she is out of luck. Learn more about by calling 1-888-589-0848.

3. For other methods on DIY alarms, conduct a search on on “How to Wire an Intruder Alarm,” and find detailed instructions.

4. offers deep discounts and high technology including backup devices in case of power outages, wireless cameras, smartphone apps and more. They can be reached via phone here: 1-877-695-7211.

5. Gray Security offers two-way audio communications via your alarm system from anywhere in your home, among other services.

Whether you choose any of the above or select another security service, always ensure you take basic safety precautions above and beyond just having a security system. Lock doors and Windows. Keep porch lights on at night. Be aware of your surroundings. Lastly and possibly most importantly, meet your neighbors and establish trust. When you know the people around you, you will feel much safer. Neighbors can be good friends and add emotional support during deployments and they also add a level of physical security. They become people who you know you can call on if something happens, or they may even call you if they see something out of the ordinary.

Be safe and have a great day, from your team hear at Low VA Rates!

VA Streamline Rates Fall To 4.25%

The housing market is very weak. As a result, people are defaulting on their mortgages and filing bankruptcy. All of these actions result in the economy weakening. So, what’s the federal government doing about it? They’re starting with their veterans by offering a VA streamline mortgage that can save you hundreds of dollars every single month.

If you are a veteran and have a mortgage that’s financed through a VA loan, then you can qualify for this loan. Think of the possibilities – a mortgage designed just for you, all because you’ve served your country. It’s a great benefit that you should take advantage of.

As long as your current interest rate is higher than 5%, then you stand to save a significant amount of money. Regardless of whether your current interest rate is fixed or variable, the streamline mortgage loan can be the answer you’re looking for.

The streamline mortgage is also referred to as interest rate reduction refinancing loan. The difference between this loan and the other refinancing loans that are on the market is that this is designed for veterans. Other loan companies may be able to offer a great interest rate, but it could be temporary. As soon as the market turns around, that rate that was saving you money could skyrocket, leaving you powerless to do anything about it. The VA streamline mortgage, however, is a permanent, low rate. This means that you’re locked into the low VA rate – currently as low as 4.25%.

An interest rate reduction of only 1% is enough to save you hundreds of dollars. For every 1% that you reduce your current interest rate by, you can save anywhere from $100 and $600, all dependent on the amount your loan is for. This amount of money can dramatically affect your cash flow and personal finances. Think of what you can do with a couple hundred dollars a month – you can pay off other debt, go on vacation, or create a comfort zone from your bills.

The VA streamline mortgage loan is something you can’t afford not to do. There is no out of pocket expense because pre-paid and closing costs can be rolled into the new loan amount. Other companies require you to pay that up front. The process is easy and it’s simple to qualify for. Getting the loan could change the way you’re living, all because you took advantage of the benefits that are given to you because of being a veteran.

All across America, people are struggling. The interest rate reduction loan is an opportunity to get you and the rest of the economy, back on track.

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