Mortgage IIB Oweing VA Compromise Claim

[Anonymous]

Hello! Hopefully someone can help me with this question. We filed for BK in 2008 and it was discharged 12/2009. Our home was included in the bankruptcy. We sold the home in a shortsale and thought that we were done with the situation. The loan was a VA loan and we are looking into buying another property. I applied for the VA certificate of eligibility and received an email that we were entitled to 0 because of a compromise claim that was paid by VA. The eligibility can be restored if the amount is repaid. What is confusing us is if the property was IIB, shouldn't the debt of the compromise claim be included as well? It is debt associated with that property. This is the first time we have heard of oweing the VA any funds and I assume that the only way they will try to collect is if we want the eligibility restored. Anyone have any experience with this?

Thanks In Advance!!

[IOBA]

I dont' have any experience with this...but thinking it through, here are my thoughts.

The VA backed your loan - basically insured it.  When you sold it for less than  what was owed, the VA had to pay the difference to the lender who held the mortgage.  Since the house was included in BK, they can not go after you for the money.

Now that you are asking them to back you up on a loan again, I can understand their reluctance to do it since your previous actions cost them money.

IMO, it's totally worth it to pay back the money to the VA regardless of whether you use them in the future or not.  

IMO, the VA will not send the outstanding balance (the money it had to pay to cover your short sale) to collections since the house was included in BK.