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An AI model extracted this from the bill’s official record and can make mistakes. Check the official text ↗ (opens in new tab)

Loan Guaranty

A promise by the VA to a lender that if a veteran borrower defaults on a home loan, the VA will repay a portion of the loan to the lender. This reduces the risk for lenders and makes it easier for veterans to get loans without a down payment.

Guaranty Entitlement

The maximum amount that the VA will guarantee on a veteran's home loan. This amount can be used to help a veteran purchase a home without a down payment, up to the full loan amount in many cases, depending on the loan size and the veteran's available entitlement.

Covered veteran

A specific category of veteran, defined elsewhere in law or by VA regulations, who may be eligible for different loan guaranty terms than other veterans. The specific criteria for a 'covered veteran' are not detailed in this excerpt.

Freddie Mac conforming loan limit

The maximum loan amount that Freddie Mac, a government-sponsored enterprise that buys mortgages from lenders, will purchase from a lender. This limit is set annually and varies by region, reflecting average home prices.

Civil penalty

A monetary fine imposed by a government agency or court for a violation of a law or regulation, typically without a criminal conviction. It is not considered a criminal punishment.

Title 38, United States Code

The section of U.S. federal law that deals with Veterans' Benefits. This bill amends specific parts of this title related to VA home loans.