VA Increases Allowable Attorney Fees

The ""U.S. Department of Veterans Affairs"":http://www.va.gov (VA) recently published a notice in the Federal Register that new maximum foreclosure attorney fees will be allowed for loan terminations completed on or after December 12, 2013. ""Maximum fee amounts"":http://benefits.va.gov/HOMELOANS/documents/docs/allowable_attorney_fees.doc vary by state.

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There are no changes in the amounts allowed for deeds-in-lieu of foreclosure or bankruptcy releases, although VA continues to review these fees.

The Department's VALERI system is being enhanced to allow up to the new amount in guaranty claims for loans terminated on or after December 12. If the loan is terminated prior to December 12, no more than the prior maximum fees will be allowed.

The new fees are based on the date of loan termination, which is the ""Final Event"" or ""Loan Termination Event"" as shown in the State Foreclosure Process and Statutory Bid Information table in the Document Library on the VALERI website.

A ""new table"":http://benefits.va.gov/HOMELOANS/documents/docs/allowable_attorney_fees.doc showing the allowable attorney fees effective December 12 is also posted in the site's Document Library. The ""fee cost schedule"":http://benefits.va.gov/HOMELOANS/documents/docs/valeri_fee_cost_schedule_maxallowable.xls in VALERI is currently being updated.