VA Forbearance Guidelines: What You Need to Know

VA Forbearance Guidelines: What You Need to Know

KEY TAKEAWAYS

  • VA loan forbearance is a temporary pause in mortgage payments for those experiencing financial hardship.
  • The deadline for CARES Act forbearance has been extended to July 30th, 2023.
  • VA loan borrowers experiencing financial difficulties due to COVID-19 or other reasons may be eligible for forbearance.
  • Missed payments during forbearance are not forgiven but paused, and borrowers must work with their lenders to develop a repayment plan.
  • VA loan borrowers can refinance their loans even while in forbearance.
  • VA forbearance rules should not impact credit or borrower standing as long as repayment agreements are followed.
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Written by Bill Lyons