► Key Points – VA Partial Claim 2026
- The VA Partial Claim Program officially opens for submissions TODAY, June 15, 2026, replacing the expired VASP foreclosure safety net
- The program lets the United States Department of Veterans Affairs advance funds to cover missed mortgage payments, moving arrears into a zero-interest, no-monthly-payment subordinate lien
- Veterans repay that lien only when they sell the home, refinance, or pay off the original mortgage, with nothing extra owed each month until then
- The VA can cover up to 25% of the original loan balance, or 30% for veterans who previously used a COVID-era partial claim between 2021 and 2022
- Servicers must complete system implementation by November 28, 2026, but most major servicers are ready to process claims starting today
- Veterans must complete a three-month trial payment plan before the partial claim is finalized and the loan is brought fully current
- As of late 2025, nearly 90,000 VA loans were seriously past due and 33,000 were already in active foreclosure, making this program urgently needed
By TrenBuzz Staff · June 15, 2026 · 4 min read
If you are a veteran who has fallen behind on your VA-guaranteed mortgage, today is a date you need to circle on your calendar. The United States Department of Veterans Affairs formally launched the VA Partial Claim 2026 program on June 15, 2026, opening a new and long-awaited foreclosure prevention tool that gives struggling military homeowners a genuine path to stay in their homes without losing the interest rate or loan terms they earned through their service.
The program was authorized by the VA Home Loan Program Reform Act, signed by President Trump on July 30, 2025. It fills a critical gap left by the Veterans Affairs Servicing Purchase program, known as VASP, which stopped accepting new submissions on May 1, 2025. Between VASP’s end and today’s launch, veterans who fell behind on payments had almost no viable foreclosure prevention options through the VA system. That changes right now.
How the VA Partial Claim 2026 Program Works: Step by Step
The core mechanic of the VA Partial Claim 2026 foreclosure prevention program is elegantly simple and specifically designed to protect veterans from the most painful outcome of the old system. Under the previous approach, missed payments were capitalized directly into the loan balance at current market interest rates, which often left veterans with higher monthly payments than they had before they fell behind, making recovery harder rather than easier.
Under the new partial claim structure, the United States Department of Veterans Affairs advances funds directly to the mortgage servicer to cover the veteran’s missed payments and bring the loan completely current. That advanced amount is then attached to the home as a subordinate second lien with two critical features: it carries zero interest and requires zero monthly payments. The veteran continues making their regular mortgage payment, just as before, with nothing additional owed until a future sale, refinance, or payoff event triggers repayment of the deferred lien.
Veterans with full remaining VA entitlement can access coverage of up to 25% of their original loan principal. Those who used a COVID-era partial claim during the 2021 to 2022 period can access up to 30% of their original principal balance through the new program, recognizing that pandemic-era hardships may have left some borrowers with compounding financial challenges that require a larger safety net.
“The VA Partial Claim Program provides Veterans experiencing financial hardship with an additional option to avoid foreclosure.”
United States Department of Veterans Affairs, Official Launch Statement, June 15, 2026
Who Qualifies and What the Three-Month Trial Period Means
Eligibility for the VA partial claim 2026 program requires that you have a VA-guaranteed home loan on your primary residence and that the loan is currently in default or at imminent risk of default due to a documented financial hardship. The home must be your primary residence, not a rental or investment property. Veterans who have already received a loan modification, repayment plan, or forbearance agreement may still qualify if those earlier options have been exhausted or are insufficient to resolve the delinquency.
The process begins when your mortgage servicer identifies you as a potential candidate. If you have not heard from your servicer and you are behind on payments, you should call your servicer’s loss mitigation department immediately and specifically request information about the VA Partial Claim program by name. Servicers are required to evaluate all VA home retention options before pursuing foreclosure, but veterans who proactively contact their servicer are more likely to receive timely assistance before the foreclosure process advances.
Once identified as eligible, qualified veterans are placed on a three-month trial payment plan. This trial period exists to verify that you can sustain your regular monthly mortgage payment going forward before the partial claim is finalized. If you make all three trial payments on time, the servicer pays your overdue balance to the VA, the VA reimburses the servicer, and the deferred lien is attached to your property. Your loan is then officially current and the foreclosure threat is resolved.
Why This Program Was Urgently Needed
The gap between VASP’s end and today’s launch was not a small problem. Urban Institute data cited by Military.com found that as of late 2025, nearly 90,000 VA loans were seriously past due, defined as 90 days or more behind on payments. Of those, approximately 33,000 were already in active foreclosure proceedings. During the months when VASP was gone and the partial claim had not yet launched, those veterans had almost no viable path to keep their homes without losing their original VA loan terms.
The Mortgage Bankers Association played a significant role in lobbying Congress to pass the VA Home Loan Program Reform Act and in ensuring the VA released its implementation guidance in time for today’s June 15 launch. MBA President and CEO Bob Broeksmit issued a statement welcoming the launch, calling it “a critical protection for veterans who have earned their homes through service to our country.” The MBA has also confirmed that servicers now have until November 28, 2026, to complete full technical implementation of the partial claim processing system, with most major national servicers already ready to process applications as of today.
Veterans who are not yet behind on payments but fear they may fall behind in the coming months can also contact the VA proactively. The VA’s loan technicians are available at 1-877-827-3702 to provide free counseling on all available home retention options, including the partial claim program, repayment plans, forbearance agreements, loan modifications, and in cases where retention is not feasible, alternatives to foreclosure such as short sales and deeds in lieu. The counseling is free and available to any veteran with a VA-guaranteed loan regardless of which servicer holds their mortgage.
Disclaimer: This article is intended for informational and news reporting purposes only. Content is based on publicly available information sourced from VA.gov, VA News, Military.com, Consumer Finance Monitor, MBA Newslink, and VA Loan Network as of June 15, 2026, and does not constitute legal, financial, or mortgage advice. TrenBuzz.com is not affiliated with the United States Department of Veterans Affairs or any mortgage servicer. Veterans seeking foreclosure prevention assistance should contact the VA directly at 1-877-827-3702 or visit va.gov for official guidance. Program details are subject to change. Content is produced in compliance with Google AdSense publisher policies.