AGENT. A VA “automatic” lender may designate any individual or entity as an agent to perform loan-related functions on its behalf or in its name. Onetime or Infrequent Use of an Agent. Lender may authorize agency relationship on loan-by-loan basis. Certification on VA Form 26-1820, Item 24J.
A VA “automatic” lender may designate any individual or entity as an agent to perform loan-related functions on its behalf or in its name.
When must the lender request VA recognition of a relationship with an agent?
If the lender uses an agent more than FOUR times per year. This is considered an “ongoing” relationship.
*Requests must be sent to the VA Regional Loan Center with jurisdiction over the lender’s home office.
VA will notify the lender on the approval in writing.
Even with formal VA recognition, the lender must identify the agent and it’s function of VA Form 26-1820 for each loan involving an agent.
Interest rate lock-in agreement?
Verifications of deposit?
Verifications of employment?
Note: The extent of the relationship between the lender and the agent is at the lender’s discretion.
Yes. If specified in the Corporate Resolution.
Note: If the sponsoring lender is a non-supervised automatic lender, all loans must be reviewed and approved by a VA-approved underwriter employed by the lender.
Lenders are fully responsible for agents who act on their behalf.
Acts or omissions of the agent are treated as acts or omissions of the lender.
VA Lenders Handbook
Chapter 1, section 7