GAO Recommends VA Develop Plan to Evaluate New Foreclosure Avoidance Program

The Department of Veterans Affairs has not developed a comprehensive plan to assess the effectiveness of its new Partial Claim Program, according to a report released Nov. 10, 2026, by the U.S. Government Accountability Office.

The program is intended to help borrowers with VA-guaranteed loans avoid foreclosure, GAO said. Under it, VA reimburses loan servicers for a borrower's missed payments and certain fees. The borrower repays that amount without interest when they sell or refinance the home, pay off the loan, or when the loan reaches maturity.

The VA Home Loan Program Reform Act authorized the program in July 2025 for five years, ending July 30, 2030, and continuing it requires congressional reauthorization, GAO said. The program took effect June 15, 2026, and servicers have until Nov. 28, 2026, to finish implementing it.

GAO said VA has taken steps to implement the program, including developing policies, soliciting stakeholder feedback and hosting training. VA officials said they intend to begin analyzing program trends and outcomes in December 2027. However, GAO said VA's planned approach does not isolate the program's effects on borrowers or consider program design questions.

GAO recommended that VA expeditiously develop a comprehensive evaluation plan. VA did not provide comments on the report, according to GAO.

Source: U.S. Government Accountability Office.

Originally published by True News: https://truenews.bagleyenterprises.net/stories/950