Circular 26-21-03 - Certificate of Eligibility
Enhancements to Streamline Income Verification
Greetings,
The purpose of this communication is to announce that Circular 26-21-03 has been published.
Circular 26-21-03 announces enhancements to the Certificate of Eligibility (COE) for verification of VA monthly income and provides guidance for submission of VA Form 26-8937, Verification of VA Benefits, to Department of Veterans Affairs (VA) Regional Loan Centers (RLCs).
The Veterans Benefits Administration is decommissioning fax services for claims submissions and transitioning to more Veteran-centric online processing to increase security, enhance image quality, and decrease processing times. Due to this operational change, lenders will no longer be able to fax VA Form 26-8937 to any VA RLC.
Effective March 19, 2021, lenders no longer have to submit a VA Form 26-8937 if income and/or prior approval information is already provided on the COE. Loan Guaranty Release 21.6 will be installed on March 18, 2021, and includes enhancements to existing COE conditions. These enhancements will limit when VA Form 26-8937 must be submitted to RLCs to the following instances:
- Memorandum Rating Requests, if a pre-discharge claim is pending
- Spouse of a Veteran who is now deceased but whose entitlement encumbers the loan being refinanced
- Anomalies on a COE
This Circular has been posted to the VA Home Loans Circulars page.
Sincerely,
Loan Guaranty Service
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