A branch manager asks about a loan file because a borrower asks what VA guarantees in a VA-backed mortgage. What should happen?
Correct Answer
B) Recognize VA guarantees the lender against covered loss
Lines 143-149; VA Buyer Guide, Overview and Eligibility sections. VA guaranty supports the lender against foreclosure loss, while borrowers must meet eligibility and occupancy requirements. Therefore, the correct response is "Recognize VA guarantees the lender against covered loss".
Why This Is the Correct Answer
Lines 143-149; VA Buyer Guide, Overview and Eligibility sections. VA guaranty supports the lender against foreclosure loss, while borrowers must meet eligibility and occupancy requirements. Therefore, the correct response is "Recognize VA guarantees the lender against covered loss".
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