VA Funding Fee Exemption Expanded in 2010

With the recent enactment of the Veterans’ Benefits Act of 2010 on October 13, 2010, the eligibility for the

Funding Fee exemption has been expanded to include veterans who were previously receiving VA disability compensation for a service-connected disability, but because they have reenlisted or were recalled to active duty service, they are not receiving active duty pay in lieu of disability compensation.

The following persons are exempt from paying the VA funding fee:

• Veterans receiving VA compensation for service-connected disabilities
• Veterans who would be entitled to receive compensation for service-connected disabilities if they did not receive retirement pay or active service pay.
• Veterans who are rated by VA as eligible to receive compensation because of pre-discharge disability examination and rating.
• Surviving spouses of veterans who died in service or from service-connected disabilities (whether or not such surviving spouses are veterans with their own entitlement and whether or not they are using their own entitlement on the loan).

For additional VA loan information, please visit our VA Loan page! If you have questions or to see if you qualify, contact me below or apply online!