The effective date of your VA compensation must be retroactive to before the date of your loan closing. You may be eligible for a refund of the VA funding fee if you’re later awarded VA compensation for a service-connected disability. You’re a service member on active duty who, before or on the loan closing date, provides evidence of having received the Purple Heart.You’re a service member who has received a proposed or memorandum rating before the loan closing date that says you’re eligible to get compensation because of a pre-discharge claim, or.You’re receiving Dependency and Indemnity Compensation (DIC) as the surviving spouse of a Veteran, or.You’re eligible to receive VA compensation for a service-connected disability, but you’re receiving retirement or active-duty pay instead, or.You’re receiving VA compensation for a service-connected disability, or.

You won’t have to pay a VA funding fee if any of these descriptions are true for you: If you’re using a VA home loan to buy, build, improve, or repair a home or to refinance a mortgage, you’ll need to pay the VA funding fee unless you meet certain requirements. taxpayers since the VA home loan program doesn’t require down payments or monthly mortgage insurance. This fee helps to lower the cost of the loan for U.S. The VA funding fee is a one-time payment that the Veteran, service member, or survivor pays on a VA-backed or VA direct home loan. About the VA funding fee What is the VA funding fee?

Office one time purchase