[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: 38CFR36.4220]

[Page 559]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
          CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS (CONTINUED)
 
PART 36--LOAN GUARANTY--Table of Contents
 
Sec. 36.4220  Substantive and procedural requirements; waiver.

    (a) Notwithstanding any requirement, condition, or limitation stated 
in or imposed by the regulations concerning the guaranty of manufactured 
home loans to veterans, the Under Secretary for Benefits, or the 
Director, Loan Guaranty Service, within the limitations and conditions 
prescribed by the Secretary, is hereby authorized, if the Under 
Secretary for Benefits or Director, Loan Guaranty Service finds the 
interests of the Government are not adversely affected, to relieve undue 
prejudice to a debtor, holder, or other person, which might otherwise 
result, provided no such action may be taken which would impair the 
vested rights of any person affected thereby. If such requirement, 
condition, or limitation is of an administrative or procedural (not 
substantive) nature, any employee designated in Sec. 36.4221 is hereby 
authorized to grant similar relief if the designated employee finds the 
failure or error of the lender was due to misunderstanding or mistake 
and that the interests of the Government are not adversely affected. 
Provisions of the regulations considered to be of an administrative or 
procedural (nonsubstantive) nature are limited to the following:
    (1) The requirement in Sec. 36.4209(b) that a lender originating a 
loan under a certificate of commitment report the loan for issuance of 
guaranty evidence within 60 days following actual payment of the full 
proceeds of the loan. In such cases it is not necessary that a finding 
be made that the loan is not in default.
    (2) The requirements in Sec. 36.4209(h) of this part concerning the 
giving of notice in assumption cases under 38 U.S.C. 3714.


(Authority: 38 U.S.C. 3714)

    (3) The requirement in Sec. 36.4279 that a holder promptly forward 
an advice of the terms of any agreement effecting a reamortization or 
extension of a loan.
    (4) The requirement in Sec. 36.4280 concerning the giving of notice 
of default.
    (5) The requirement in Sec. 36.4280 that a holder give 30 days 
advance notice of its intention to foreclose or repossess the security.
    (6) The requirement in Sec. 36.4282 that a holder give notice of 
repossession of personal property within 10 days after such repossession 
has occurred.
    (7) The requirement in Sec. 36.4210(a) that a lender obtain the 
prior approval of the Secretary before closing a joint loan if the 
lender or class of lenders is approved by the Secretary to close loans 
on the automatic basis pursuant to 38 U.S.C. 3712(c)(1).


(Authority: 38 U.S.C. 3712(c)(1))

    (b) No waiver, consent, or approval required or authorized by the 
regulations concerning guaranty of loans to veterans shall be valid 
unless in writing signed by the Secretary or the employee designated in 
Sec. 36.4221.

[36 FR 1253, Jan. 27, 1971, as amended at 46 FR 43670, Aug. 31, 1981; 49 
FR 13352, Apr. 4, 1984; 55 FR 37473, Sept. 12, 1990; 61 FR 28058, June 
4, 1996]