Recently, the Department of Veterans Affairs announced that it will end the mortgage rescue program designed to help veterans avoid foreclosure. This program, which has helped nearly 20,000 veterans, is now being discontinued, leaving many veterans wondering about their next steps.
The mortgage rescue program, launched just a year ago, provided crucial support for veterans who were at risk of losing their homes. It offered financial assistance to those facing temporary hardships like medical issues or job loss, helping them stay in their homes. Now, this critical lifeline is being pulled away, leaving many veterans scrambling for solutions.
Veterans who were depending on this program are now left with little support. The VA’s recent announcement revealed that, starting on May 1, 2025, the VA’s Veterans Affairs Servicing Purchase Program (VASP) will no longer accept new enrollees.
This change has caught many veterans off guard. With limited communication from the VA, some veterans learned about the termination at the last minute, making it difficult to make alternate arrangements in time.
So, what does this mean for you if you’re a veteran affected by this change? The VA’s mortgage forbearance program, which allowed veterans to skip mortgage payments, has already been discontinued. Many veterans were then relying on VASP to secure new, low-interest mortgages, but now they find themselves at a loss.
Experts and veterans groups are concerned that this termination could lead to unnecessary foreclosures for veterans who were depending on this program. Without a solid replacement, veterans may be left with limited options to prevent losing their homes.
Until a solution is found, veterans need to take immediate action. First, contact your mortgage lender to discuss alternative payment plans or other options that may help prevent foreclosure. Second, reach out to your local VA office for guidance on available resources or potential relief programs.
If you’re facing difficulties or worried about the impact of this termination, Veterans Guide is here to help. We can assist with understanding your options, exploring additional VA benefits, and helping you maximize your disability rating. Raising your rating means increased compensation, which can be a huge help if you’re dealing with financial strain from missed payments or other challenges.
Visit VeteransGuide.org today to learn more about how we can help you raise your rating, maximize your compensation, and get the support you need during this transition.
