ICYMI: Task & Purpose Reports on Pappas's Efforts to Hold the VA Accountable for Wrongful Foreclosure Notices to Veterans

In case you missed it, following the Department of Veterans Affairs (VA) wrongly sending foreclosure notices to veterans with VA home loans, Task & Purpose reported on how Congressman Chris Pappas (NH-01) and his colleagues are demanding answers from VA Secretary Collins on how this serious error occurred and what steps the VA will take to reassure veterans their housing is protected.

Read the full story from Task & Purpose here.

Key Excerpts:

• Thousands of veterans who own their homes with mortgages backed by the Department of Veterans Affairs were stunned recently by a letter from the VA telling them they were at risk of foreclosure, according to members of Congress. Some, if not all, of the letters were sent in error, but the VA has yet to explain to the homeowners or Congress why the letters were sent. 
• “For many veterans and their families, such a notice can cause significant distress, confusion, and financial hardship—even if issued in error,” Democratic Reps. Mark Takano of California, Chris Pappas of New Hampshire and Nikki Budzinski of Illinois wrote to Collins. 
• Sean Saball was one of the veterans who got a letter… He still, however, has not heard directly from the VA. “I left a message. I have not gotten any follow-ups at all,” he said. “I’m still kind of unsure of what the next steps are and if there’s any action that they need from me.”
• The erroneous letters come after the VA ended a program put in place during the Biden Administration with the goal of helping more than 40,000 veterans avoid foreclosure and stay in their homes. 
• In their letter to Secretary Collins, Democrats wrote that the “rash” decision left many veterans and families at risk of losing their homes. “Against that backdrop, the widespread distribution of inaccurate foreclosure notices not only undermines confidence in VA’s loan servicing operations but also places undue emotional and financial strain on veterans who rely on VA for accuracy, support, and advocacy,” they wrote.

Background: 

Earlier this year, Pappas helped pass bipartisan legislation to establish a Department of Veterans Affairs (VA) Home Loan safety net program that will support veterans left facing foreclosure following the Trump Administration’s abrupt cancellation of the VASP program, and increase resources to end veteran homelessness.

In April Pappas immediately spoke out against the administration's decision to abruptly end VASP during a House Veterans’ Affairs Subcommittee on Economic Opportunity markup, and called on VA Secretary Doug Collins to immediately reverse his decision to abruptly end VASP. In May, Pappas again spoke out against the decision to end VASP during an HVAC markup, rebuked VA Secretary Collins for ending the program when the Secretary testified before the Committee, and shared how constituents in New Hampshire’s First District would be impacted during a press conference with Congressional leaders.