HR7598119th CongressWALLET

VALOR Act

Sponsored By: Representative Levin

Introduced

Summary

Protect veterans from improper origination fees on VA housing loans and ensure refunds when disability benefits are later awarded.

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This bill would clarify that a fee charged in violation of 38 U.S.C. § 3729 is an overpayment. The Secretary of Veterans Affairs would have to either refund that overpayment to the veteran or credit it to the loan when the fee was paid as part of the loan. It would also create a special rule for veterans who have filed a disability compensation claim or given notice of intent to file but have not yet received a decision. Those veterans could be charged a fee at application, but if their disability claim is later approved the Secretary would reimburse the veteran the fee. The changes apply to housing loans guaranteed, insured, or made under the VA loan chapter.

Bill Overview

Analyzed Economic Effects

1 provisions identified: 1 benefits, 0 costs, 0 mixed.

Refunds for improper VA loan fees

If enacted, this bill would require the Secretary of Veterans Affairs to treat any fee collected from a person in violation of paragraph (1) of 38 U.S.C. § 3729(c) as an overpayment. The VA would have to either refund that fee or, if the fee was paid as part of the loan, credit the fee amount back to the loan. The bill would also allow VA to collect a housing loan fee from a veteran who had a pending disability compensation claim or a notice of intent to file when applying. If that veteran later gets disability compensation, VA would have to reimburse the fee after payment. These rules would take effect upon enactment.

Sponsors & CoSponsors

Sponsor

Levin

CA • D

Cosponsors

  • Del. Moylan, James C. [R-GU-At Large]

    GU • R

    Sponsored 2/17/2026

Roll Call Votes

No roll call votes available for this bill.

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