FAQ
VA Funding Fee: Amounts, Exemptions, and Refunds
The VA funding fee is a one-time fee charged by the VA on all VA loans (with limited exemptions). It funds the VA loan program and is paid at closing or rolled into the loan amount.
Details
The Full Answer
- First-time use, 0% down: 2.15% of loan amount
- First-time use, 5–10% down: 1.50%
- First-time use, 10%+ down: 1.25%
- Subsequent use (any down payment): 3.30%
- Exemptions: disability rating 10%+ (confirmed by VA rating letter)
- Surviving spouses of veterans killed in action
CTC's Role
How CTC Processing Handles This
CTC Processing calculates the VA funding fee correctly on every VA file and identifies disability exemptions at intake. Misclassifying the funding fee (first-time vs. subsequent use) is a compliance error. CTC tracks prior VA loan history from the COE.
Have more questions?
CTC Processing works with Colorado loan officers. Call 970-222-2615 or email ctcprocessingllc@gmail.com.
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