Title 38 — Veterans' BenefitsRelease 119-73not60
§3744 Approval of Loans by the Secretary
Title 38 › Part III— READJUSTMENT AND RELATED BENEFITS › Chapter 37— HOUSING AND SMALL BUSINESS LOANS › Subchapter IV— SMALL BUSINESS LOANS › § 3744
Summary
Loans under this subchapter must be sent to the Secretary and approved before the loan closes. The Secretary can exempt a lender or a class of lenders listed in section 3702(d) if their experience supports it. The Secretary can also require prior approval with 30 days’ notice, and no guarantee exists unless the Secretary issues proof of it.
Full Legal Text
Title 38, §3744
Veterans' Benefits — Source: USLM XML via OLRC
(a)Except as provided in subsection (b) of this section, a loan may not be guaranteed under this subchapter unless, before the closing of the loan, it is submitted to the Secretary for approval and the Secretary grants approval.
(b)The Secretary may exempt any lender of a class of lenders listed in section 3702(d) of this title from the prior approval requirement in subsection (a) of this section if the Secretary determines that the experience of such lender or class of lenders warrants such exemption.
(c)The Secretary may at any time upon thirty days’ notice require loans to be made by any lender or class of lenders under this subchapter to be submitted to the Secretary for prior approval. No guaranty shall exist with respect to any such loan unless evidence of the guaranty is issued by the Secretary.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1991—Pub. L. 102–83, § 5(a), renumbered section 1844 of this title as this section. Subsec. (b). Pub. L. 102–83, § 5(c)(1), substituted “3702(d)” for “1802(d)”. 1989—Pub. L. 101–237 substituted “Secretary” for “Administrator” in section catchline and wherever appearing in text.
Reference
Citations & Metadata
Citation
38 U.S.C. § 3744
Title 38 — Veterans' Benefits
Last Updated
Apr 5, 2026
Release point: 119-73not60