[Code of Federal Regulations]
[Title 38, Volume 2]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 38CFR36.4215]

[Page 558]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
          CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS (CONTINUED)
 
PART 36--LOAN GUARANTY--Table of Contents
 
Sec. 36.4215  Maintenance of records.

    (a) The holder shall maintain a record of the amounts of payments 
received on the obligation and disbursements chargable thereto and the 
dates thereof. This record shall be maintained until the Secretary 
ceases to be liable as guarantor of the loan. For the purpose of any 
accounting with the Secretary or computation of claim against the 
Secretary, any holder who fails to maintain such record shall be 
presumed to have received on the dates due all sums which by the terms 
of the contract are payable prior to date of claim, and the burden of 
going forward with evidence and of ultimate proof of the contrary shall 
be on such holder.
    (b) The lender shall retain copies of all loan origination records 
on VA guaranteed loan for at least one year from the date of loan 
closing. Loan origination records include the loan application, 
including any preliminary application, verifications of employment and 
deposit, all credit reports, including preliminary credit reports, 
copies of each sales contract and addendums, letters of explanation for 
adverse credit items, discrepancies and the like, direct references from 
creditors, correspondence with employers, appraisal reports, reports on 
other inspections of the property, and all closing papers and documents.


(Authority: 38 U.S.C. 501, 3703(c)(1), 3712(g))

    (c) The Secretary has the right to inspect, examine, or audit, at a 
reasonable time and place, the records or accounts of a lender or holder 
pertaining to loans guaranteed by the Secretary.

(Recordkeeping requirements contained in Sec. 36.4215 were approved by 
the Office of Management and Budget under OMB control number 2900-0515)

[36 FR 1253, Jan. 27, 1971, as amended at 40 FR 13214, Mar. 25, 1975; 55 
FR 34913, Aug. 27, 1990]