Published Jun 19, 2026, 5:00 AM EDT
The Partial Claim Program enables mortgage servicers to help veterans modify their loans to save their homes.
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Published Jun 19, 2026, 5:00 AM EDT
New assistance provided by the Department of Veterans Affairs (VA) is available for veterans facing financial hardship like homes in jeopardy of foreclosure. An attorney told Military.com that there are potential pitfalls if veterans aren't careful. The VA's new Partial Claim Program is part of the VA Home Loan Reform Act, signed into law in 2025 by President Donald Trump and formally launched this month. It allows mortgage providers to identify veterans in mortgage default, placing them on a three-month trial payment plan. If successfully completed, the mortgage service will then pay the veteran's overdue mortgage amount to bring their account current. "There are advantages and disadvantages to this government program," Indiana foreclosure defense attorney Ryan Frasher told Military.com. "One advantage is that it can help preserve a veteran’s previous interest rate, which is likely 4 to 7 percentage points lower compared to today's interest rates."
