DEPARTMENT OF VETERANS AFFAIRS Regional Office PO Box 100023 Decatur GA 30031-7023 www.vba.va.gov/ro/atlanta/rlc

February 12, 2008

			In Reply Refer to: 316/262
			Loan Guaranty Bulletin 262-08-01

	To:	All Lenders, Holders, and Servicers
	Subj:	Reporting of Loans Paid in Full and validity Period of Certificates of Commitment

1. Our regulations require that you notify the Department of Veterans Affairs whenever a guaranteed loan is paid in full. Original Loan Guaranty Certificates (VA Form 26-1899) for loans on properties in Georgia, North Carolina, South Carolina and Tennessee should be marked "Paid in Full", dated, signed by an official of your institution and forwarded to this office. If the guaranty is evidenced by an endorsement on the note, you should write a letter stating that the loan is paid in full, that the endorsement has been canceled and that there is no further liability on the part of the Department of Veterans Affairs. As we have no way of knowing a loan is paid in full except by advice from you, it is important that such notice be forwarded to this office immediately. 2. Repayment in full of loans guaranteed for repurchase under the provisions of VA Regulation 4600 are also to be reported. We ask that you review your portfolios to assure that all liquidated loans are reported. 3. Lenders should also note that Certificates of Commitment issued in connection with prior approval loans are valid for six months from date of issuance. CFR 36.4209 and 36.4303 require lenders to notify VA by returning those commitments where the loan, for whatever reason, does not close. This information is needed so that we may update our records. 4. This bulletin replaces Loan Guaranty Bulletin No. 262-07-02 dated January 29, 2007 which is rescinded.

THOMAS H. BUFFTON, JR. Loan Guaranty Officer