“Veterans, their families and their survivors are entitled to benefits that keep pace with the cost of living,” said Secretary of Veterans Affairs Eric K. Shinseki. “VA is also using the latest technology to provide Veterans and their families with access to current information about their benefits.”

The new compensation rates will range from $127 monthly for a disability rated at 10 percent to $2,769 monthly for 100 percent. The cost of living adjustments (COLAs) also apply to disability and death pension recipients, survivors receiving Dependency and Indemnity Compensation, disabled Veterans receiving automobile and clothing allowances, and other benefits. The full rates are available on the Internet at www.vba.va.gov/bln/21/Rates/#BM01.

Under federal law, COLAs for VA’s compensation and pension rates are the same percentage as for Social Security benefits. The last COLA for VA benefits was in 2008 when the last Social Security increase occurred.

“Veterans receiving VA disability and pension payments can now check their new 2012 COLA increase online,” said Under Secretary for Benefits Allison A. Hickey. “I encourage all Veterans, their dependents and survivors to sign up for eBenefits, VA’s popular website that recently crossed the one million mark in registrations.”

In close collaboration, the Department of Defense (DoD) and VA jointly developed the eBenefits portal as a single secure point of access for online benefit information and tools to perform multiple self-service functions, such as checking monthly benefit rates, filing a claim, or checking its status.

Veterans may enroll in eBenefits and obtain a Premium account by verifying their identity in-person at the nearest regional office or online depending on their status, or calling VA’s toll free number at 1-800-827-1000.

Servicemembers may also enroll in eBenefits using their Common Access Card at any time during their military service, or before they leave during their Transition Assistance Program briefings.

VA is enhancing its online eBenefits services with newer features such as online selection of Veterans organizations or other advocates to represent applicants for benefits where representation is desired.
Another new feature automates messages sent to Veterans and Servicemembers to notify them of benefits that they may be eligible to receive based on recent life events, such as military separation or marriage.

The site also continues to consolidate access to other VA and DoD systems through the portal, recently incorporating a gateway to vocational rehabilitation benefits under VA’s VetSuccess program.
Web access to information and benefits management tools for Servicemembers, Veterans and their families is part of VA and DoD’s lifetime engagement strategy from an individual’s entry into the military through the twilight years in civilian life as a Veteran.

VA provides non-taxable compensation and pension benefits to over four million Veterans, family members, and survivors. Disability compensation is a non-taxable monetary benefit paid to Veterans who are disabled as a result of an injury or illness that was incurred or aggravated during active military service.

For more information about VA benefits or new payment rates, visit www.vba.va.gov or call 1-800-827-1000. You can also contact VetsFirst at http://helpdesk.vetsfirst.org/.

A new video produced by VA’s Prosthetic and Sensory Aids Service discusses how service dogs might be a good option for some veterans living with disabilities.

VA also provides a Q&A on Guide and Service Dogs that explains eligibility and other info.

For anyone interested in this benefit, it may be a solid starting point in your journey to acquiring your very own service dog.

VetsFirst has actively advocated for greater availability of service dogs for veterans who need them. For many, these animals are critical to greater quality of life and independence. They are beneficial to veterans living with a variety of disabilities, including hearing loss, traumatic brain injury, seizures, and mobility issues.

Some injuries and disorders are more severe in nature and result in several additional debilitating residual conditions that can have additional adverse affects on an individual’s socioeconomic state. To better assist with meeting the specialized needs of these individuals, additional benefits are available under Special Monthly Compensation (SMC) ratings provided under Title 38 of U.S.C. 1114. These ratings are in addition to the numerical ratings established under the standard rating schedule and are identified by letters such as SMC (k), SMC (l), SMC (m), SMC (n), SMC (o), SMC(p), SMC (r), SMC (s) and the recently added SMC (t). These rates are simply named after the subsections of the Code of Federal Regulations that outline the required eligibility requirements for each level of SMC. SMC provides additional monetary compensation awards and where applicable can establish entitlement to additional ancillary benefits such as the VA’s Specially Adapted Housing Grant and the Automobile and Adaptive Equipment Grants.

The basic elements of Special Monthly Compensation Ratings include anatomical (or physical) loss or the loss of use of limbs, hands, feet and/or reproductive organs; aphonia; deafness; blindness; loss of bowel and bladder control; being permanently housebound; and a need for regular aid and attendance with activities of daily living or a higher level of care–all of which must be a result of the veteran’s service-connected disabilities. Each level of SMC ratings are successive and are preceded by an entitlement to certain conditions included under SMC level (k).

A rating of SMC(k) would include:
• the anatomical loss or loss of use of:
o one hand.
o one foot.
o both buttocks (where the applicable bilateral muscle group prevents the individual from maintaining unaided upright posture, rising and stooping actions).
o one or more creative organs used for reproduction (absence of testicles, ovaries or other creative organ, ¼ loss of tissue of a single breast or both breasts in combination) due to trauma while in service, or as a residual of a service-connected disability(ies). *(these do not serve as eligible prerequisite conditions for the higher levels of SMC)*
o One eye (loss of use to include specific levels of blindness).
• complete organic aphonia (constant loss of voice due to disease)
• Deafness of both ears to include absence of air and bone conduction.

A rating of SMC(l) would include:
• The anatomical loss or loss of use of:
o Both feet,
o One hand and one foot
• Blindness in both eyes with visual acuity of 5/200 or less.
• Permanently bedridden.
• Regular need for aid and attendance to assist with activities of daily living such as dressing oneself, tending to personal hygiene, care and adjustment of assistive appliances or prosthetics, feeding oneself, and the like. (specific criteria is established in 38 CFR § 3.352(a) ) (*if such services are not being provided at the expense of the U.S. Government due to hospitalization).

Ratings above the SMC(l) level to include SMC (m), SMC (n), SMC (o), SMC (p), SMC(r) and SMC (s) are specialized multifaceted levels which are based on various specific combinations of anatomical loss or loss of use of designated extremities and/or senses, together with seriously disabling conditions and particular degrees of aid and attendance requirements, housebound or bedridden statuses deemed medically necessary, and explicit service-connection ratings. These levels also outline various requirements to include full and half step upgraded SMC level ratings. The conditions providing the basis of these levels are as follows.

A rating of SMC(m) would include:
• The anatomical loss or loss of use of:
o Both hands,
o Both legs at the region of the knee
o One arm at the region of the elbow with one leg at the region of the knee
• Blindness in both eyes having only light perception.
• Blindness in both eyes resulting in the need for regular aid and attendance.

A rating of SMC(n) would include:
• The anatomical loss or loss of use of both arms at the region of the elbow.
• The anatomical loss of both legs so near the hip that it prevents the use of a prosthetic appliance.
• The anatomical loss of one arm so near the shoulder that it prevents the use of a prosthetic appliance along with the anatomical loss of one leg so near the hip that it prevents the use of a prosthetic appliance.
• The anatomical loss of both eyes or blindness in both eyes to include loss of light perception.

A rating of SMC(o) would include:
• The anatomical loss of both arms so near the shoulder that it prevents the use of a prosthetic appliance.
• Bilateral deafness rated at least 60 percent disabling along with service-connected blindness with visual acuity of 20/200 or less of both eyes.
• Complete deafness in one ear or bilateral deafness rated at least 40 percent disabling along with service-connected blindness in both eyes to include loss of light perception.
• Paraplegia – paralysis of both lower extremities along with bowel and bladder incontinence.
• Helplessness due to a combination of anatomical loss or loss of use or two extremities with deafness and blindness or a combination of multiple injuries causing severe and total disability.

A rating of SMC(p) would include:
• The anatomical loss or loss of use of a leg at or below the knee along with the anatomical loss or loss of use of the other leg at a level above the knee.
• The anatomical loss or loss of use of a leg below the knee along with the anatomical loss or loss of use of an arm above the elbow.
• The anatomical loss or loss of use of one leg above the knee and the anatomical loss or loss of use of a hand.
• Blindness in both eyes meeting the requirements outlined in SMC (l), (m) or (n) levels.

Ratings under SMC(r) are assigned for seriously disabled veterans in need of advanced levels of aid and attendance. SMC(r) ratings require a minimal combination of entitlement to both SMC(o) and SMC(l). Additionally, Veterans in receipt of SMC rates based on Aid and Attendance are strongly advised to contact their service representative and/or VA Regional Office should they become hospitalized at the expense of the U.S. Government (i.e. a VA medical facility) as failure to do so could create an overpayment of monetary benefits.

Ratings under SMC(s) are also available if the veteran is permanently housebound. The VA defines “permanently housebound” as being substantially (as opposed to completely) confined to a dwelling as the result of service-connected disability and it is reasonably certain that that such disability will continue throughout the veteran’s lifetime. These kinds of determinations should be made by a physician, whose written opinions or reports in this respect would serve as the best evidence to submit in support of a claim for “s” SMC benefits.
Ratings under SMC(t) are available to veterans who need regular aid A&A for residuals of Traumatic Brain Injury (TBI), but is not eligible for a higher level of A&A under (R)(2), and would require hospitalization, nursing home care, or other residential institutional care in absence of regular in-home aid and attendance.

As Special Monthly Compensation ratings are very complex, this outline is simply to serve as an informational reference. It is important that you consult your service representative for assistance with determining eligibility and filing or maintaining claims for such ratings. please be sure to contact your VetsFirst Service Representative or submit your inquiry to our Ask VetsFirst online service at http://helpdesk.vetsfirst.org.

Melanie Cercone
Veterans Service Representative

Check out these numbers while remembering that numbers don’t lie. Today, a whopping 900,000 veterans are unemployed. In October, the U.S. Department of Labor reported that the average unemployment rate among all veterans is 7.7 percent, but it is a staggering 12.1 percent for Iraq and Afghanistan veterans. Sadly, vets between the ages of 35 and 64, who by the way have the fewest available VA education and training options left, constitute nearly two-thirds of all unemployed veterans.

What do these numbers tell you? I’m no Einstein but they tell me that unemployment among veterans is not just a problem for Iraq and Afghanistan veterans, but for some vets who served near the end of the Vietnam War period, the peacetime period after May 7, 1975, and the beginning of the Persian Gulf War period on August 2, 1990, and forward beyond that point.

So, I’m thinking that a lot of our unemployed veterans who served their nation well and with honor are being forced to take steps like selling their homes, probably at a time when said homes are undervalued, and moving their families into Mom and Dad’s house or an apartment; or worse, having to take funds out of their retirement accounts now to support themselves and their families, and left looking straight in the eyes at an impoverished future.

To this writer, these circumstances constitute a national disgrace. Is this the way the United States treats those who mostly volunteered to serve their country? I hope not.

Believing that I’m a positive-thinking individual, and from what I’ve learned about the details of The VOW To Hire Heroes Act, maybe our country can turn around this high level of veterans unemployment. The law contains business tax credits that are highest for service-related disabled vets who have been unemployed for longer than six months, but it also includes a business tax credit of lesser value for veterans unemployed longer than six months, and a third tax credit of even lesser value for businesses who hire a vet who is out of work for longer than four weeks.

Even better, this law provides disabled veterans who have exhausted their unemployment benefits with an additional one (1) year of VA Vocational Rehabilitation and Education benefits. And, for nearly 100,000 unemployed vets of past eras and wars, the law gives an additional one (1) year of Montgomery G. I. Bill benefits to qualify for jobs in high-demand fields, from trucking to technology. These two provisions alone could really help currently under-qualified vets to be successful in today’s job market.

Other important provisions of The VOW To Hire Heroes Act include making the military’s Transition Assistance Program (TAP) mandatory for most service members re-entering civilian life, and a requirement that the U.S. Department of Labor take a thorough look at how military skills can transfer to civilian jobs, and how the DOL can make it easier for our newest veterans to obtain the licenses/certifications to compete for such jobs.

From someone who worked for a total of 43 years, and who understands how work improved the quality of my life and my self-esteem, let’s pray that The VOW To Hire Heroes Act really works well.

Terry Moakley
Chair of the VetsFirst Committee

If a rating evaluation or percentage has been in effect for 20 years or more, the Department of Veterans Affairs may not reduce the rating to a lower percentage, unless again it is found that fraudulent evidence or actions were involved in obtaining the assigned evaluation.

For those individuals who do not meet the 10- and 20-year Protected Disability Rating regulations, it is a case by case basis. Technically speaking, a designation of service-connection and an established evaluation can be reduced or removed at any time if the (VA) receives evidence that service-connection is not warranted; or if regarding evaluations there is evidence that the condition has improved and no longer meets the severity levels of symptomatology as assigned in the Rating Schedule.

It must also be taken into consideration that an issued Permanent and Total rating is not in fact a protected rating. In these cases, the Permanent portion of the rating refers to the assumption that the disease or disorder is permanent and unceasing in nature and is not likely to improve. In these cases routine clinical evaluations are no longer required by the VA. However, this does not ensure that the rating is protected. If at any time prior to the 10- and 20-year regulations there is evidence presented to the VA that the condition has improved and was not related to military service it is still subject to a possible reduction if warranted.

If the VA is in receipt of such evidence supporting removal or reduction of a rating and benefits, they are required by law to notify the veteran that they are proposing to reduce their benefits due to the designated reasons. The veteran then has 60 days to provide the VA with evidence as to why his or her service-connection or evaluation should not be removed or reduced.

VetsFirst strongly encourages our veterans to consult your appointed representative any time you are submitting evidence, filing claims for benefits and other various inquiries for this reason. We are here to ensure that the evidence and claims submitted do not contain negative information that could potentially impair your rating and will assist you with potential actions and outcomes to deal with such situations.

Melanie Cercone
Veterans Service Representative

These are commonly known as Hardship Claims. Veterans who request expedited processing due to a hardship must be able to present verification of their situation. Some crucial circumstances in which a Veteran can request expedited processing is if they are homeless (or on the verge of becoming homeless), if they are subject to severe financial hindrances, if they are terminally ill or if they have a rapidly progressive disease or disorder causing medical hardships.

For those who are experiencing severe financial difficulties, it is advised that a Financial Hardship request for expedited processing be accompanied by financial status reporting to include monthly expenses, debt to income ratio, and if applicable copies of overdue invoices, utility disconnection notices, eviction notices and the like. In support of Medical Hardship requests for expedited processing sufficient evidence are typically medical statements documenting the terminal or progressive disease diagnosis.

Each case is diverse and there can be other distinctive situations that may warrant priority processing by means of a Hardship claim that may fall outside of the aforementioned basic categories. If you have questions or concerns regarding the proceedings of your pending or potential claim please do not hesitate to contact a VetsFirst Service Representative via our Ask VetsFirst online feature http://helpdesk.vetsfirst.org or toll free at 1 (877) 483 8717.

Claims and Appeals for benefits from every era and variety are pouring into the VA Regional Offices at increasing rates due to changes in regulations, our recently returning OIF/OEF/OND Soldiers as well as other various motives. While VA Regional Offices strive to meet their target numbers (available to the public via http://www.vba.va.gov/reports) many claims are subject to timelines averaging a year or more.

Even as this is justifiably frustrating, it is a tribulation that veterans and service representatives alike must try to overcome and have patience with. Making an effort to respond in a timely manner to the various development requests issued by the VA in support of the pending claims by expediently submitting necessary forms, responses to evidence requests, VCAA Notices, reporting for VA requested examinations and so on are examples of positive measures a veteran can take in helping to ensure an efficient development process which can possibly lead to an earlier issuance of a VA Decision.

Melanie Cercone
Veterans Service Representative

My dad, James Ansley, was a Vietnam veteran. He died on January 4, 2008. Four months earlier, he had been diagnosed with Mantle Cell Lymphoma, a type of non-Hodgkin’s Lymphoma. Anytime something like this happens it is difficult at best.

Unfortunately, my dad’s fortunes crashed with the real estate market in Florida. When he got sick, he had no health insurance and few other resources.

My family did not have time to process the emotions of the situation. We spent our time applying for Medicaid, Social Security disability, and food stamps for my dad. We also moved him from Florida to live with my sister in Arkansas.

It wasn’t until after he passed away that we realized his cancer was presumptively related to his military service in Vietnam. If we had understood VA benefits, we would have known that he most likely would have been eligible for VA disability compensation and health care.

My dad liked to help people. This month is Leukemia and Lymphoma Awareness Month. It is in his memory that my wife Heather and I pass along his story in hopes of helping another family.

If you or someone you know served in Vietnam and has cancer or another serious disease, please check here to see if you may be eligible for VA benefits.

Jonathan Ansley

In stark contrast to this effort is the 10th anniversary of the 9/11 terrorist attacks, and the opening of the 9/11 Memorial on that hallowed ground. As veterans, we need to remind this super committee every day that young men and women across this great nation responded to these horrendous attacks by joining the military to fight against terrorists around the world who seek to destroy our way of life.

This battle against terrorism is not over. Some of those brave Americans who entered the military post-9/11 have made the ultimate sacrifice, and many more will carry the physical and mental scars of battle with them for the rest of their lives.

As a nation, we simply cannot allow political differences to shortchange this generation, or any previous or future generation, of veterans of the benefits that they have earned.

We are and we should continue to be a grateful nation for those who have served. To harm the services and benefits needed by veterans is simply unconscionable.

VetsFirst is working for veterans with disabilities on Capitol Hill. Please take a moment to read VetsFirst’s letter to Senator Patty Murray (D-WA), Co-Chair of the Joint Select Committee on Deficit Reduction and Chairman of the Senate Veterans Affairs’ Committee, regarding the need to preserve services and benefits that help veterans with disabilities.

Terry Moakley
Chair of the VetsFirst Committee

VetsFirst NSO Stephen Fricano taking in the sights
at the Grand Canyon.

When I first enrolled in the VA healthcare system, it was the fall of 2009, and I was fresh out of the U.S. Air Force. With the assistance of the excellent people of my local VA Medical Center––as well as that of United Spinal Association, the company for which I now have the pleasure of working for––my claims for service-connected disability were investigated, evaluated and in due time, approved.

After this came my move to Buffalo, and my enrollment in the Buffalo VA Medical Center. It was there at the Buffalo VAMC that a doctor would find something that would truly change the way I see, literally!

“Mr. Fricano, I’m going to need another look at that eye,” the doctor said.

The simplicity of the statement threw me off balance, given what has transpired since it was uttered. It was only six short months ago, but what my VA optometrist saw through her technical equipment that day will have a lasting effect on the rest of my life.

As it turns out, I had two very small tears in the retina of my left eye, and she was the first person to observe this and bring it to my attention. I was informed that she would start making all the necessary calls and hopefully get me in to Ophthalmology as soon as possible.

I sat in the eye doctor’s chair, waiting to hear when my next appointment would be, and what this means for my sight, when I was informed that the ophthalmologist would actually be ready to see me within the hour. Soon, I was in another chair, in another office, talking to another doctor. As we started to talk specifics, the doctor told me that, while the two tears in my retina were relatively minor, they were closer enough together that, with time, they could become one larger tear. This posed a serious threat to become retinal detachment. We discussed the options in my case: wait and see, or corrective surgery. After doing a bit of research on my own, at home, I opted for the retinal surgery.

It was a fine, brisk morning in western NY, when I found myself back in the same office at the Buffalo VAMC. Per the doctor’s orders, I had worn my glasses, and kept taking them off to polish at the lenses nervously. The doctor brought in two medical students who were enrolled at the local SUNY Buffalo state university; they were there as part of a partnership between the Buffalo VAMC and the college, to observe and study in their chosen field.

After the preliminary tests and confirmation of the diagnosis by all parties, I was instructed to head to the operating room. As our small group passed into the designated room, I immediately spotted the equipment that would correct my problem. It was an optical laser interface machine, designed, through the use of special lenses and controls, to let a technician or doctor aim and use a powerful green laser to literally scar the eye around the tears. This would prevent the tears from ever becoming larger.

As I was coached on what I’d be experiencing, I had my eyes prepped for surgery, the doctor joked with me to keep the tension down. The experience of actually getting the surgery is a bit of a blur, with instructions to keep looking straight, praise that I was doing great, and continual statements that we were almost done. If I had to compare it to something else, I’d say it was a lot like watching an extremely bright laser show with your eyes closed. I’d get glimpses of the green laser out of my peripheral vision, but since the doctor had a steady hand, and apparently I kept my eyes relatively straight and motionless, the surgery went off without a hitch.

Many people speak of light-affected migraines; my main symptom of the healing process from the surgery was something similar. After a few days, though, the majority of the pain and discomfort had passed. In a few weeks, I was back in the Buffalo VAMC for my follow-up. The doctor informed me that the small ring of burns created by the laser to contain the tears had been very successful. Barring the creation of new tears, which are normally created by minor blunt trauma (hitting your head on something, or a hard football tackle), my prognosis was that I may have some minor disturbances in my peripheral vision, but that I was now at an extremely low risk for retinal detachment.

Because of the dedication and attention to detail by the staff of the Buffalo VAMC, I was diagnosed and treated before my condition could have been a real problem. Due to their expertise and caring, as well as the support of my coworkers, my vision forecast for the future is, in a word: clear.

So if I had any word of advice for my fellow vets, it’d be this; if you have any medical issues, be it vision related or something completely different –– it may be covered by VA. Should you have any questions, please let us know. We’re always here to help you sort it out!

Stephen Fricano
National Service Officer

The VA Home Loan was established, and is maintained, by the Department of Veterans Affairs for use by veterans, surviving spouses, as well as active duty, guard, and reserve service members. The primary purpose of this loan is to allow these individuals to become the primary owner of a personal residence.

The VA Home Loan itself is a type of mortgage loan, though its rates are much lower than traditional mortgage loans. You’ll see why in a little bit. With the VA loan program, the borrower does not make any down payment; instead, the VA makes a deal with the lender that if the borrower defaults, then the VA will cover a quarter or half of the loan, based upon their prior agreement with the lender.

Lenders feel protected because they are convinced that, rather than having to go after someone with debt collectors and heavy fees, they have a guarantee from the government of partial recovery. (This is why the interest charged on these loans is very low as compared to other mortgage loans.)

A veteran (or other user of the VA Home Loan) can save thousands of dollars every year just by using the VA Home Loan over most any other mortgage loan.

How It Works

To obtain this loan, a person does not have to contact the VA because the VA does not grant loans directly; the person must contact the lenders and banks that approve the VA loans. Be advised that the duration of payment for the VA Home Loan is between 15 to 30 months. Now, with all that said, let’s get on to basic eligibility, shall we?

Though members of the military who are still serving this country are eligible for the VA Home Loan, I will be focusing primarily on the use of the loan by veterans and / or their surviving spouses. If you need more information pertaining to service member eligibility, you can find it at the following web links:
http://www.benefits.va.gov/homeloans/eligibility.asp
http://www.benefits.va.gov/homeloans/elig2.asp

One of the most basic steps the VA goes through in order to establish whether or not a veteran or surviving spouse is eligible for the VA Home Loan is determining the character of discharge of the veteran. Applications which involve an ‘Other-than-Honorable’ discharge will require more development time by the VA in order to establish that the veteran did not separate as a result of a dishonorable discharge. This would bar the veteran from utilizing this particular VA benefit, as well as the majority of other VA benefits, including VA healthcare.

After this key step is taken, periods of service, specifically whether the veteran was on active duty during wartime or peacetime, as well as how long they served, are then tackled. Below is the exact verbiage from the VA’s website on VA Home Loan eligibility for service periods.

Eligibility

Wartime – Service During:

• WWII: 9/16/1940 to 7/25/1947
• Korean: 6/27/1950 to 1/31/1955
• Vietnam: 8/5/1964 to 5/7/1975

You must have at least 90 days on active duty and been discharged under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged for a service connected disability.

Peacetime – Service during periods:

• 7/26/1947 to 6/26/1950
• 2/1/1955 to 8/4/1964
• 5/8/1975 to 9/7/1980 (Enlisted)
• 5/8/1975 to 10/16/1981 (Officer)

You must have served at least 181 days of continuous active duty and been discharged under other than dishonorable conditions. If you served less than 181 days, you may be eligible if discharged for a service connected disability.

Service after 9/7/1980 (enlisted) or 10/16/1981 (officer)
If you were separated from service which began after these dates, you must have:

• Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were ordered or called to active duty and been discharged under conditions other than dishonorable, or
• Completed at least 181 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1171 (Early Out), or have been determined to have a compensable service-connected disability;
• Been discharged with less than 181 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances for the convenience of the Government.

Gulf War – Service during period 8/2/1990 to date yet to be determined
If you served on active duty during the Gulf War, you must have:

• Completed 24 months of continuous active duty or the full period (at least 90 days) for which you were called or ordered to active duty, and been discharged under conditions other than dishonorable, or
• Completed at least 90 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1173 (Early Out), or have been determined to have a compensable service-connected disability, or
• Been discharged with less than 90 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances, for the convenience of the Government.

Though it is sometimes complicated to determine what category you or your veteran fall in to, a quick call to your Veterans Service Representative or Officer should be able to help clarify things for you!

For surviving spouses of veterans who are determined to be eligible, the VA has this to say:

You may also be determined eligible if you:

• Are an unremarried spouse of a veteran who died while in service or from a service connected disability

Note: A surviving spouse who remarries on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit. However, a surviving spouse who remarried before December 16, 2003, and on or after attaining age 57, must apply no later than December 15, 2004, to establish home loan eligibility. VA must deny applications from surviving spouses who remarried before December 6, 2003 that are received after December 15, 2004.

The key point here is that the veteran must not have been discharged dishonorably, and must have died either while in service, or from a service connected disability. Next, we’ll be moving on to how one applies for the VA Home Loan.

How to Apply

The very first thing that is needed in order to apply is a Certificate of Eligibility, or CoE. As an eligible veteran, you can get a CoE in one of three easy ways:

1. Apply through your lender: Many vendors have access to a system called ‘Web LGY’. This is an Internet based application that can establish eligibility and issue an online CoE in a matter of seconds. Be careful, though, because not all cases can be processed through Web LGY – only those for which VA has sufficient data in our records. Despite this, veterans are still encouraged to ask their lenders about this method of obtaining a certificate, as it is definitely the easiest and quickest way of doing so.
2. Apply online: If you’re unable to get the certificate through your lender, or if you’re not yet looking at any specific lenders, the next best option is to apply online. Go to the eBenefits portal (http://www.ebenefits.va.gov) and click on the My eBenefits tab towards the top, on the left side. It will open a screen with several benefit areas. On the bottom right of the screen is the Housing tab. It’s important to note that you will need login credentials to request a CoE through eBenefits. If you have them, enter your Username and Password. If you do not have a login and password for eBenefits yet, you can simply click on the “Request/Activate a DoD Self-Service Logon” link which is shown below the area where you logon.
3. Apply via mail: The third and most time intensive method for getting your CoE is through the mail. Veterans will use VA Form 26-1880 (Request for a Certificate of Eligibility) for this. The form is mailed in to the Winston-Salem Eligibility Center, the address for which is provided on the VA Form itself. If you are applying via mail, it is highly recommended that you submit a copy of your DD-214 to establish proof of service, unless you already have done so through a Compensation and Pension claim (VA Form 21-526), or other VA claim. (Note: The VA is required to have a copy of the DD-214 which shows the character of service (item 24) and the narrative reason for separation (item 28).

As an eligible surviving spouse, you can receive a CoE only by submitting an application through the mail. You must complete the VA Form 26-1817 (Request for Determination of Loan Guaranty Eligibility – Unmarried Surviving Spouses) and mail it to the Winston-Salem Eligibility Center. As a surviving spouse, if you are already in receipt of Dependency and Indemnity Compensation (DIC) Benefits, make sure to include a copy of your award letter with your application. If you’re not in receipt of DIC, but are still eligible for the VA Home Loan, submit a copy of the following items:

• A copy of the veteran’s DD-214 (Note: The VA is required to have a copy of the DD-214 which shows the character of service (item 24) and the narrative reason for separation (item 28).
• A copy of the veteran’s death certificate
• A copy of your marriage certificate

Make sure to put the veteran’s social security number at the top of all submitted documents. Finally, you should add a simple signed statement saying that you would like to apply for DIC. This is important because if you qualify for the home loan benefit, you probably qualify for monthly payments under DIC.

The VA loan doesn’t have to be used just to purchase a new home; it can also be used for various other reasons. For example, a 100 percent refinancing option is available, meaning that this loan can be used to expand or improve an existing loan, or it can be used to purchase other mortgages. (However, people cannot buy investment properties through this loan). The amount of money that can be borrowed on this loan is up to $417,000, but in some states, this amount may vary. In order to determine if this limit of $417,000 applies to your specific location, the VA has put up an electronic list of high-cost counties, organized by state, for use by the general populace. It can be found at the following link:

http://www.benefits.va.gov/homeloans/docs/2011_county_loan_limits.pdf
(Limits shown for the areas in this PDF apply to all loans closed January 1st, 2011 through September 30th, 2011)

If you’ve already obtained one VA Home Loan, there is a good chance that you’re still eligible to receive another one. Your eligibility can be restored if:

1. You have paid off (in full) your prior VA loan, and
2. Disposed of the property (meaning sold / transferred the title) *1

(*1: On a one-time only basis, you can have your eligibility restored if your prior VA loan has been paid in full but you still own the property.)

In order to restore eligibility, the veteran must send a completed VA Form 26-1880 (Request for a Certificate of Eligibility) to the Winston-Salem Eligibility Center. In order to make sure your request for restoration isn’t delayed, try to include evidence that you’ve already paid back the previous loan in full. This can be shown through a statement from your former lender, or with a copy of the HUD-1 settlement statement completed in connection with a sale of the property or refinancing of the prior loan. The VA also maintains an excellent Q&A FAQ on the VA Home Loan; it provides common scenarios with regards to restoring eligibility and the paying off of the loan. Listed below are some of the more crucial questions that are answered on their website.

http://www.benefits.va.gov/homeloans/faqelig.asp

FAQs

Q: I sold the property I obtained with my prior VA loan on an assumption. Can I get my eligibility restored to use for a new loan?

A: In this case the veteran’s eligibility can be restored only if the qualified assumer is also an eligible veteran who is willing to substitute his or her available eligibility for that of the original veteran. Otherwise, the original veteran cannot have eligibility restored until the assumer has paid off the VA loan.

Q: My prior VA loan was assumed, the assumer defaulted on the loan, and VA paid a claim to the lender. VA said it wasn’t my fault and waived the debt. Now I need a new VA loan but I am told that my used eligibility cannot be restored. Why?

Or,

Q: My prior loan was foreclosed on, or I gave a deed in lieu of foreclosure, or the VA paid a compromise (partial) claim. Although I was released from liability on the loan and/or the debt was waived, I am told that I cannot have my used eligibility restored. Why?

A: In either case, although the veteran’s debt was waived by VA, the Government still suffered a loss on the loan. The law does not permit the used portion of the veteran’s eligibility to be restored until the loss has been repaid in full.

Q: Only a portion of my eligibility is available at this time because my prior loan has not been paid in full even though I don’t own the property anymore. Can I still obtain a VA guaranteed home loan?

A: Yes, depending on the circumstances. If a veteran has already used a portion of his or her eligibility and the used portion cannot yet be restored, any partial remaining eligibility would be available for use. The veteran would have to discuss with a lender whether the remaining balance would be sufficient for the loan amount sought and whether any down payment would be required.

If you have specific questions about the VA home (not pertaining to your specific eligibility) that have not been answered here, you can email your VA Regional Loan Center. Just follow the link below, click on your state, and a window will open with the email address provided.

http://www.benefits.va.gov/homeloans/rlcmap.asp

I sincerely hope that this article was useful to you, and best of luck with your VA Home Loan endeavors!

Stephen Fricano
National Service Officer