97-13708. Proposed Information Collection Activity: Proposed Collection; Comment Request; Reinstatement

[Federal Register Volume 62, Number 101 (Tuesday, May 27, 1997)]
[Notices]
[Pages 28755-28756]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-13708]


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DEPARTMENT OF VETERANS AFFAIRS

[OMB Control No. 2900-0112]


Proposed Information Collection Activity: Proposed Collection; 
Comment Request; Reinstatement

AGENCY: Veterans Benefits Administration, Department of Veterans 
Affairs.

ACTION: Notice.

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SUMMARY: The Veterans Benefits Administration (VBA) is announcing an 
opportunity for public comment on the proposed collection of certain 
information by the agency. Under the Paperwork Reduction Act (PRA) of 
1995, Federal agencies are required to publish notice in the Federal 
Register concerning each proposed collection of information, including 
each proposed reinstatement, without change, of a previously approved 
collection for which approval has expired, and allow 60 days for public 
comment in response to the notice. This notice solicits comments on 
requirements relating to the release of personal liability to the 
Government for a VA-guaranteed mortgage.

DATES: Written comments and recommendations on the proposed collection 
of information should be received on or before July 28, 1997.

ADDRESSES: Submit written comments on the collection of information to 
Nancy J. Kessinger, Veterans Benefits Administration (20S52), 
Department of Veterans Affairs, 810 Vermont Avenue, NW, Washington, DC 
20420. Please refer to ``OMB Control No. 2900-0112'' in any 
correspondence.

FOR FURTHER INFORMATION CONTACT: Nancy J. Kessinger at [phone] 
or FAX [phone].

SUPPLEMENTARY INFORMATION: Under the PRA of 1995 (Pub.L. 104-13; 44 
U.S.C., 3501-3520), Federal agencies must obtain approval from the 
Office of Management and Budget (OMB) for each collection of 
information they conduct or sponsor. This request for comment is being 
made pursuant to Section 3506(c)(2)(A) of the PRA.
    With respect to the following collection of information, VBA 
invites comments on: (1) Whether the proposed collection of information 
is necessary for the proper performance of VBA's functions, including 
whether the information will have practical utility; (2) the accuracy 
of VBA's estimate of the burden of the proposed collection of 
information; (3) ways to enhance the quality, utility, and clarity of 
the information to be collected; and (4) ways to minimize the burden of 
the collection of information on respondents, including through the use 
of automated collection techniques or the use of other forms of 
information technology.
    Title and Form Number: Statement of Holder or Servicer of Veteran's 
Loan, Form Letter 26-559.
    OMB Control Number: 2900-0112.
    Type of Review: Reinstatement, without change, of a previously 
approved collection for which approval has expired.
    Abstract: Veteran-borrowers may sell their home subject to the 
existing VA-guaranteed mortgage lien without the prior approval of the 
VA if the commitment for the loan was made prior to March 1, 1988. 
However, if they wish to be released from personal liability to the 
Government in the event of a subsequent default by a transferee, the VA 
must determine, pursuant to 38 U.S.C. Sec. 3713(a), that: (1) the loan 
payments are current; (2) the transferee will assume the veteran's 
legal liabilities

[[Page 28756]]

in connection with the loan; and (3) the purchaser qualifies from a 
credit standpoint. Also, veteran-borrowers may sell their home to 
veteran-transferees in accordance with 38 U.S.C. Sec. 3702(b)(2). 
However, eligible transferees must meet all the requirements of 38 
U.S.C. Sec. 3713(a) in addition to having sufficient available loan 
guaranty entitlement to replace the amount of entitlement used by the 
seller in obtaining the original loan.
    In performing the credit underwriting functions associated with 
processing a veteran's request for release from liability and/or 
substitution of entitlement, loan specialists at VA field stations must 
collect and verify information from the current holder or servicer of 
the loan. Form Letter 26-559 collects information on the mortgage loan 
amount, payment terms, taxes, insurance and liens which are used to 
compute the total monthly mortgage cost to the borrower.
    Affected Public: Business or other for-profit--Individuals or 
households.
    Estimated Annual Burden: 2,500 hours.
    Estimated Average Burden Per Respondent: 10 minutes.
    Frequency of Response: One-time.
    Estimated Number of Respondents: 15,000.

    Dated: May 15, 1997.

    By direction of the Secretary.
Donald L. Neilson,
Director, Information Management Service.
[FR Doc. 97-13708 Filed 5-23-97; 8:45 am]
BILLING CODE 8320-01-P