The Board of Veterans' Appeals has granted the veteran's waiver of recovery of loan guaranty indebtedness, plus interest. The decision concludes that the veteran did not commit fraud or bad faith in filing for bankruptcy to delay foreclosure and retain possession of the property. However, the Board found that recovery would result in undue hardship due to the veteran's disability and receipt of VA pension.
The deciding factor: The veteran's failure to make timely payments on the property subject to the VA loan guaranty resulted in foreclosure and creation of the loan guaranty indebtedness. The sole fault lies with the veteran, not the VA. However, recovery would result in undue hardship due to the veteran's disability and receipt of VA pension.
- Claimed conditions
- Not specified in this decision
- How they argued it
- Not specified
- Exposure basis
- None
- Rating
- Not verified here — check the original decision
- Decision date
- February 13, 2002
- Citation
- 0201477
This is a plain-language summary generated by AI from a public Board of Veterans’ Appeals decision. It can contain errors — always verify against the original. Search VA.gov for the original decision (opens in a new tab) using citation 0201477.
What this means for you
A grant means the Board allowed the benefit or issue identified in this decision. Review the original order: other issues in the same appeal may have a different outcome, and this decision does not predict another claim.
What you can do next
Use your own notice and decision stage. A remanded issue is not a final court-appealable denial. VA review guidance and CAVC filing instructions (U.S. federal; reviewed October 7, 2026).
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