VA revised Appendix F of the Servicer’s Handbook (M26-4). Steps 1, 2, and 6(b) were updated as follows:
- Step 1 to clarify the servicer’s option of using the VA Disaster Modification and Disaster Extend Modification and the next steps were also updated to advance to Step 2 (rather than Step 5);
- Step 2 to clarify the servicer’s option to accept partial payments during the Special Forbearance; and
- Step 6(b) to allow servicers to offer the 40-Year Modification to borrowers, even if the payment resulted in an increase.
The revisions went into effect August 12, 2024.
Click to view the VA Transmittal of Change 12 to M26-4, VA Servicer Handbook: https://www.tenaco.com/wp-content/uploads/2024/08/VA-Transmittal-of-Change-12-to-M26-4-VA-Servicer-Handbook-08-12-24.pdf
