VA Partial Claim Program: New Foreclosure Help for Veteran Homeowners in 2026

VA Partial Claim Program: New Foreclosure Help for Veteran Homeowners in 2026

Falling behind on a mortgage can happen quickly. A military retirement, disability, separation, medical expense, interrupted spouse employment, or an unexpected household cost can turn a manageable payment into a serious problem.

On June 15, 2026, the Department of Veterans Affairs formally launched the VA Partial Claim Program, a new home-retention option for certain Veterans with delinquent VA-guaranteed mortgages. The program is designed to help qualified borrowers become current on their loans and avoid foreclosure.

It is important to understand both the opportunity and its limits. This is not an automatic benefit, a general cash payment, or forgiveness of the overdue balance.

How the VA Partial Claim Program works

VA describes the process in five basic steps:

1. The mortgage servicer identifies a Veteran who is in default and may qualify.

1. The servicer places the qualified borrower on a three-month trial payment plan.

1. The trial period tests whether the borrower can remain current under the proposed arrangement.

1. After successful completion, the servicer pays the overdue mortgage amount needed to bring the loan current.

1. VA pays that amount to the servicer, and the amount advanced must later be repaid to VA when the original mortgage is paid in full, refinanced, or the property is sold.…