---
kind: "range"
citation: "38 U.S.C. §§ 3761–3764"
title: "38"
from: "3761"
to: "3764"
count: 5
release: "119-102"
url: "https://uscodex.org/usc/38/3761..3764"
---

# §3761. Direct housing loans to Native American veterans; program authority

- (a) The [Secretary](/usc/38/101.md?p=1) shall make direct [housing loans](/usc/38/3701.md?p=a) to [Native American veterans](/usc/38/3765.md?p=2). The purpose of such loans is to permit such [veterans](/usc/38/3701.md?p=b-2) to purchase, construct, or improve dwellings on [trust land](/usc/38/3765.md?p=1). The [Secretary](/usc/38/101.md?p=1) shall make such loans in accordance with the provisions of this subchapter.
- (b) The [Secretary](/usc/38/101.md?p=1) shall, to the extent practicable, make direct [housing loans](/usc/38/3701.md?p=a) to [Native American veterans](/usc/38/3765.md?p=2) who are located in a variety of geographic areas and in areas experiencing a variety of economic circumstances.
- (c) The [Secretary](/usc/38/101.md?p=1) shall prescribe such regulations as may be necessary to carry out this subchapter.

# §3762. Direct housing loans to Native American veterans; program administration

- (a) The [Secretary](/usc/38/101.md?p=1) may make a direct [housing loan](/usc/38/3701.md?p=a) to a [Native American veteran](/usc/38/3765.md?p=2) under this subchapter if the [Secretary](/usc/38/101.md?p=1) ensures the following:
  - (1) That each [Native American veteran](/usc/38/3765.md?p=2) to whom the [Secretary](/usc/38/101.md?p=1) makes a direct [housing loan](/usc/38/3701.md?p=a) under this subchapter—
    - (A) holds, possesses, or purchases using the proceeds of the loan a meaningful interest in a lot or dwelling (or both) that is located on [trust land](/usc/38/3765.md?p=1); and
    - (B) will purchase, construct, or improve (as the case may be) a dwelling on the lot using the proceeds of the loan.
  - (2) That each such [Native American veteran](/usc/38/3765.md?p=2) will convey to the [Secretary](/usc/38/101.md?p=1) by an appropriate instrument the interest referred to in [paragraph (1)(A)](#a-1-A) as security for a direct [housing loan](/usc/38/3701.md?p=a) under this subchapter.
  - (3) That the [Secretary](/usc/38/101.md?p=1), including the [Secretary](/usc/38/101.md?p=1)’s [employees](/usc/38/4303.md?p=3) or agents, may enter upon the [trust land](/usc/38/3765.md?p=1) for the purposes of carrying out such actions as the [Secretary](/usc/38/101.md?p=1) determines are necessary, including—
    - (A) to evaluate the advisability of the loan;
    - (B) to monitor any purchase, construction, or improvements carried out using the proceeds of the loan; and
    - (C) to manage any servicing or post-foreclosure activities, including acquisition, property inspections, and property management.
  - (4) That there are established standards and procedures that apply to the foreclosure of the interest conveyed by a [Native American veteran](/usc/38/3765.md?p=2) pursuant to [paragraph (2)](#a-2), including—
    - (A) procedures for foreclosing the interest; and
    - (B) procedures for the resale of the lot or dwelling (or both) purchased, constructed, or improved using the proceeds of the loan.
  - (5) That the loan is made in a responsible and prudent manner, subject to standards and procedures as are necessary for the reasonable protection of the financial interests of the United States.
- (b)
  - (1) To carry out the purpose of [subsection (a)](#a), the [Secretary](/usc/38/101.md?p=1) may—
    - (A) enter into a memorandum of understanding with a [tribal organization](/usc/38/3765.md?p=4), other entity, or individual;
    - (B) rely on agreements or determinations of other Federal [agencies](/usc/38/4214.md?p=a-2-A) to guarantee, insure, or make loans on [trust land](/usc/38/3765.md?p=1); and
    - (C) enter into other agreements or take such other actions as the [Secretary](/usc/38/101.md?p=1) determines necessary.
  - (2) If the [Secretary](/usc/38/101.md?p=1) determines that the requirements under [subsection (a)](#a) are not being enforced by a [tribal organization](/usc/38/3765.md?p=4), other entity, or individual that is a party to any memorandum of understanding, agreement, or determination described in [paragraph (1)](#b-1), the [Secretary](/usc/38/101.md?p=1) may cease making [new](/usc/38/3565.md?p=a) direct [housing loans](/usc/38/3701.md?p=a) to [Native American veterans](/usc/38/3765.md?p=2) under this subchapter within the area of the authority of the [tribal organization](/usc/38/3765.md?p=4), other entity, or individual (as the case may be).
- (c)
  - (1) Loans made under this section shall bear interest at a rate determined by the [Secretary](/usc/38/101.md?p=1), which rate may not exceed the appropriate rate authorized for guaranteed loans under [section 3703(c)(1)](/usc/38/3703.md?p=c-1) or [section 3712(f) of this title](/usc/38/3712.md?p=f), and shall be subject to such requirements or limitations prescribed for loans guaranteed under this title as the [Secretary](/usc/38/101.md?p=1) may prescribe.
  - (2) Notwithstanding [section 3704(a) of this title](/usc/38/3704.md?p=a), the [Secretary](/usc/38/101.md?p=1) shall establish minimum requirements for planning, construction, improvement, and general acceptability relating to any direct loan made under this section.
- (d)
  - (1) The [Secretary](/usc/38/101.md?p=1) shall establish credit underwriting standards to be used in evaluating loans made under this subchapter. In establishing such standards, the [Secretary](/usc/38/101.md?p=1) shall take into account the purpose of this program to make available housing to [Native American veterans](/usc/38/3765.md?p=2) living on [trust lands](/usc/38/3765.md?p=1).
  - (2) The [Secretary](/usc/38/101.md?p=1) shall determine the reasonable value of the interest in property that will serve as security for a loan made under this section and shall establish procedures for appraisals upon which the [Secretary](/usc/38/101.md?p=1) may base such determinations. The procedures shall incorporate generally the relevant requirements of [section 3731 of this title](/usc/38/3731.md), unless the [Secretary](/usc/38/101.md?p=1) determines that such requirements are impracticable to implement in a geographic area, on particular [trust lands](/usc/38/3765.md?p=1), or under circumstances specified by the [Secretary](/usc/38/101.md?p=1).
- (e) Loans made under this section shall be repaid in monthly installments.
- (f) In connection with any loan under this section, the [Secretary](/usc/38/101.md?p=1) may make advances in cash to provide for repairs, alterations, and improvements and to meet incidental expenses of the loan transaction. The [Secretary](/usc/38/101.md?p=1) shall determine the amount of any expenses incident to the origination of loans made under this section, which expenses, or a reasonable flat allowance in lieu thereof, shall be paid by the [veteran](/usc/38/3701.md?p=b-2) in addition to the loan closing costs.
- (g) Without regard to any provision of this chapter (other than a provision of this section), the [Secretary](/usc/38/101.md?p=1) may—
  - (1) take any action that the [Secretary](/usc/38/101.md?p=1) determines to be necessary with respect to the custody, management, protection, and realization or sale of investments under this section;
  - (2) determine any necessary expenses and expenditures and the manner in which such expenses and expenditures shall be incurred, allowed, and paid;
  - (3) make such rules, regulations, and orders as the [Secretary](/usc/38/101.md?p=1) considers necessary for carrying out the [Secretary](/usc/38/101.md?p=1)’s functions under this section; and
  - (4) in a manner consistent with the provisions of this chapter and with the [Secretary](/usc/38/101.md?p=1)’s functions under this subchapter, employ, utilize, and compensate any persons, organizations, or [departments](/usc/38/101.md?p=1) or [agencies](/usc/38/4214.md?p=a-2-A) (including [departments](/usc/38/101.md?p=1) and [agencies](/usc/38/4214.md?p=a-2-A) of the United States) designated by the [Secretary](/usc/38/101.md?p=1) to carry out such functions.
- (h) The [Secretary](/usc/38/101.md?p=1) may make direct loans to [Native American veterans](/usc/38/3765.md?p=2) in order to enable such [veterans](/usc/38/3701.md?p=b-2) to refinance existing mortgage loans for any of the following purposes:
  - (1) To refinance an existing loan made under this section, if the loan—
    - (A) meets the requirements set forth in subparagraphs [(B)](#h-1-B), [(C)](#h-1-C), and (E) of paragraph (1) of [section 3710(e) of this title](/usc/38/3710.md?p=e);
    - (B) will bear an interest rate at least one percentage point less than the interest rate borne by the loan being refinanced; and
    - (C) complies with paragraphs (2) and (3) of [section 3710(e) of this title](/usc/38/3710.md?p=e), except that for the purposes of this subsection the reference to subsection (a)(8) of [section 3710 of this title](/usc/38/3710.md) in such [paragraphs (2)](#h-2)[^1] and (3) shall be deemed to be a reference to this subsection.
  - (2) To refinance an existing mortgage loan not made under this section on a dwelling owned and occupied by the [veteran](/usc/38/3701.md?p=b-2) as the [veteran](/usc/38/3701.md?p=b-2)’s home, if all of the following requirements are met:
    - (A) The loan will be secured by the same dwelling as was the loan being refinanced.
    - (B) The loan will provide the [veteran](/usc/38/3701.md?p=b-2) with a [net tangible benefit](/usc/38/3765.md?p=9).
    - (C) The nature and condition of the property is such as to be suitable for dwelling purposes.
    - (D) The amount of the loan does not exceed either of the following:
      - (i) 100 percent of the reasonable value of the dwelling, with such reasonable value determined under the procedures established by the [Secretary](/usc/38/101.md?p=1) under [subsection (d)(2)](#d-2).
      - (ii) An amount equal to the sum of the balance of the loan being refinanced and such closing costs (including any discount points) as may be authorized by the [Secretary](/usc/38/101.md?p=1) to be included in the loan.
    - (E) Notwithstanding [subparagraph (D)](#h-2-D), if a loan is made for both the purpose of this paragraph and to make energy efficiency improvements, the loan must not exceed either of the following:
      - (i) 100 percent of the reasonable value of the dwelling as improved for energy efficiency, with such reasonable value determined under the procedures established by the [Secretary](/usc/38/101.md?p=1) under [subsection (d)(2)](#d-2).
      - (ii) The amount referred to under [subparagraph (D)(ii)](#h-2-D-ii), plus the applicable amount specified under [section 3710(d)(2) of this title](/usc/38/3710.md?p=d-2).
    - (F) The loan meets all other requirements the [Secretary](/usc/38/101.md?p=1) may establish under this subchapter.
    - (G) The existing mortgage being refinanced is a first lien on the property and secured of record.
  - (3) To refinance an existing mortgage loan to repair, alter, or improve a dwelling owned by the [veteran](/usc/38/3701.md?p=b-2) and occupied by the [veteran](/usc/38/3701.md?p=b-2) as the [veteran](/usc/38/3701.md?p=b-2)’s home, if all of the following requirements are met:
    - (A) The loan will be secured by the same dwelling as was the loan being refinanced.
    - (B) The nature and condition of the property is such as to be suitable for dwelling purposes, and the repair, alteration, or improvement substantially protects or improves the basic livability or utility of such property.
    - (C) The amount of the loan, including the costs of repairs, alterations, and improvements, does not exceed either of the following:
      - (i) 100 percent of the reasonable value of the dwelling as repaired, altered, or improved, with such reasonable value determined under the procedures established by the [Secretary](/usc/38/101.md?p=1) under [subsection (d)(2)](#d-2).
      - (ii) An amount equal to the sum of—
        - (I) the balance of the loan being refinanced;
        - (II) the actual cost of repairs, alterations, or improvements; and
        - (III) such closing costs (including any discount points) as may be authorized by the [Secretary](/usc/38/101.md?p=1) to be included in the loan.
    - (D) The loan meets all other requirements the [Secretary](/usc/38/101.md?p=1) may establish under this subchapter.
    - (E) The existing mortgage loan being refinanced is a first lien on the property and secured of record.
- (i)
  - (1) The [Secretary](/usc/38/101.md?p=1) shall, in consultation with [tribal organizations](/usc/38/3765.md?p=4) (including the National Congress of American Indians and the National American Indian Housing Council), carry out an outreach program to inform and educate [Native American veterans](/usc/38/3765.md?p=2) of the availability of direct [housing loans](/usc/38/3701.md?p=a) for [Native American veterans](/usc/38/3765.md?p=2) who live on [trust lands](/usc/38/3765.md?p=1).
  - (2) Activities under the outreach program shall include the following:
    - (A) Attending conferences and conventions conducted by the National Congress of American Indians in order to work with the National Congress in providing information and training to [tribal organizations](/usc/38/3765.md?p=4) and [Native American veterans](/usc/38/3765.md?p=2) regarding the availability of housing benefits under this subchapter and in assisting such organizations and [veterans](/usc/38/3701.md?p=b-2) with respect to such housing benefits.
    - (B) Attending conferences and conventions conducted by the National American Indian Housing Council in order to work with the Housing Council in providing information and training to [tribal organizations](/usc/38/3765.md?p=4) and tribal housing entities regarding the availability of such benefits.
    - (C) Attending conferences and conventions conducted by the [Department](/usc/38/101.md?p=1) of Hawaiian Homelands in order to work with the [Department](/usc/38/101.md?p=1) of Hawaiian Homelands in providing information and training to tribal housing entities in Hawaii regarding the availability of such benefits.
    - (D) Producing and disseminating information to tribal governments, tribal [veterans service organizations](/usc/38/6320.md?p=b-3-B), and [tribal organizations](/usc/38/3765.md?p=4) regarding the availability of such benefits.
    - (E) Assisting [tribal organizations](/usc/38/3765.md?p=4) and [Native American veterans](/usc/38/3765.md?p=2) with respect to such benefits.
    - (F) Outstationing loan guarantee specialists in tribal facilities on a part-time basis if requested by the tribal government.
    - (G) Pursuant to [subsection (g)(4)](#g-4), assisting [Native American veterans](/usc/38/3765.md?p=2) in qualifying for mortgage financing by—
      - (i) partnering with local service providers, such as [tribal organizations](/usc/38/3765.md?p=4), [tribally designated housing entities](/usc/38/3765.md?p=11), [Native community development financial institutions](/usc/38/3765.md?p=8), and nonprofit organizations, for conducting outreach, homebuyer education, housing counseling, and post-purchase education; and
      - (ii) providing [other technical assistance](/usc/38/3765.md?p=10) as needed.
    - (H) Attending conferences and conventions conducted by the network of [Native community development financial institutions](/usc/38/3765.md?p=8) and other [Native American](/usc/38/3765.md?p=3) homeownership organizations to provide information and training to [Native community development financial institutions](/usc/38/3765.md?p=8) about the availability of the relending program under [section 3762A of this title](/usc/38/3762A.md).
- (j) The [Secretary](/usc/38/101.md?p=1) shall include as part of the annual benefits report of the [Veterans](/usc/38/3701.md?p=b-2) Benefits Administration information concerning the cost and number of loans provided under this subchapter for the fiscal year covered by the report.
- (k) The [Secretary](/usc/38/101.md?p=1) shall assign a sufficient number of personnel of the [Department](/usc/38/101.md?p=1) dedicated to carrying out the authority of the [Secretary](/usc/38/101.md?p=1) under this subchapter, including construction and valuation specialists to assist with issues unique to [new](/usc/38/3565.md?p=a) construction and renovations on [trust land](/usc/38/3765.md?p=1).

# §3762A. Native community development financial institution relending program

- (a) **Purpose.—** The [Secretary](/usc/38/101.md?p=1) may make a loan to a [Native community development financial institution](/usc/38/3765.md?p=8) for the purpose of allowing the institution to relend loan amounts to qualified [Native American veterans](/usc/38/3765.md?p=2), subject to the requirements of this section.
- (b) **Standards.—**
  - (1) The [Secretary](/usc/38/101.md?p=1) shall establish standards to be used in evaluating whether to make a loan to a [Native community development financial institution](/usc/38/3765.md?p=8) under this section.
  - (2) In establishing standards under [paragraph (1)](#b-1), the [Secretary](/usc/38/101.md?p=1) shall ensure that a [Native community development financial institution](/usc/38/3765.md?p=8)—
    - (A) is able to originate and service loans for single-family homes;
    - (B) is able to operate the relending program in a manner consistent with the mission of the [Department](/usc/38/101.md?p=1) to serve [veterans](/usc/38/3701.md?p=b-2); and
    - (C) uses loan amounts received under this section only for the purpose of relending, as described in [subsection (c)](#c), to [Native American veterans](/usc/38/3765.md?p=2).
- (c) **Relending Requirements.—**
  - (1) A [Native community development financial institution](/usc/38/3765.md?p=8) that receives a loan under this section shall use the loan amounts to make loans to [Native American veterans](/usc/38/3765.md?p=2) residing on [trust land](/usc/38/3765.md?p=1).
  - (2) A loan to a [Native American veteran](/usc/38/3765.md?p=2) made by a [Native community development financial institution](/usc/38/3765.md?p=8) under [paragraph (1)](#c-1) shall—
    - (A) be limited either to the purpose of purchase, construction, or improvement of a dwelling located on [trust land](/usc/38/3765.md?p=1) or to the refinance of an existing mortgage loan for a dwelling on [trust land](/usc/38/3765.md?p=1), consistent with the requirements of [section 3762(h) of this title](/usc/38/3762.md?p=h); and
    - (B) comply with such terms and conditions as the [Secretary](/usc/38/101.md?p=1) determines are necessary to protect against predatory lending, including the interest rate charged on a loan to a [Native American veteran](/usc/38/3765.md?p=2).
- (d) **Repayment.—** A loan made to a [Native community development financial institution](/usc/38/3765.md?p=8) under this section shall—
  - (1) be payable to the [Secretary](/usc/38/101.md?p=1) upon such terms and conditions as are prescribed in regulations pursuant to this subchapter; and
  - (2) bear interest at a rate of one percent.
- (e) **Oversight.—** Subject to notice and opportunity for a hearing, whenever the [Secretary](/usc/38/101.md?p=1) finds with respect to loans made under subsection [(a)](#a) or [(c)](#c) that any [Native community development financial institution](/usc/38/3765.md?p=8) has failed to maintain adequate loan accounting records, to demonstrate proper ability to service loans adequately, or to exercise proper credit judgment, or that such [Native community development financial institution](/usc/38/3765.md?p=8) has willfully or negligently engaged in practices otherwise detrimental to the interest of [veterans](/usc/38/3701.md?p=b-2) or of the Government, the [Secretary](/usc/38/101.md?p=1) may take such actions as the [Secretary](/usc/38/101.md?p=1) determines necessary to protect [veterans](/usc/38/3701.md?p=b-2) or the Government, such as requiring immediate repayment of any loans made under [subsection (a)](#a) and the assignment to the [Secretary](/usc/38/101.md?p=1) of loans made under [subsection (c)](#c).
- (f) **Sunset.—** The [Secretary](/usc/38/101.md?p=1) may not make a loan under this section after September 30, 2027.

# §3763. Native American Veteran Housing Loan Program Account

- (a) There is hereby established in the Treasury of the United States an account known as the “[Native American Veteran](/usc/38/3765.md?p=2) [Housing Loan](/usc/38/3701.md?p=a) Program Account” (hereinafter in this subchapter referred to as the “Account”).
- (b) The Account shall be available to the [Secretary](/usc/38/101.md?p=1) to carry out all operations relating to the making of direct [housing loans](/usc/38/3701.md?p=a) to [Native American veterans](/usc/38/3765.md?p=2) under this subchapter, including any administrative expenses relating to the making of such loans. Amounts in the Account shall be available without fiscal year limitation.
- (c) Of amounts available in the Account, the [Secretary](/usc/38/101.md?p=1) may use for loans made under [section 3762A of this title](/usc/38/3762A.md)—
  - (1) in fiscal year 2025, not more than $5,000,000; and
  - (2) in any fiscal year after fiscal year 2025, an amount determined necessary by the [Secretary](/usc/38/101.md?p=1) to meet the demand for such loans.

# §3764. Qualified non-Native American veterans

- (a) **Treatment of Non-Native American Veterans.—** Subject to the succeeding provisions of this section, for purposes of this subchapter—
  - (1) a [qualified non-Native American veteran](/usc/38/3765.md?p=5) is deemed to be a [Native American veteran](/usc/38/3765.md?p=2); and
  - (2) for purposes of applicability to a non-[Native American veteran](/usc/38/3765.md?p=2), any reference in this subchapter to the jurisdiction of a [tribal organization](/usc/38/3765.md?p=4) over a [Native American veteran](/usc/38/3765.md?p=2) is deemed to be a reference to jurisdiction of a [tribal organization](/usc/38/3765.md?p=4) over the [Native American](/usc/38/3765.md?p=3) [spouse](/usc/38/101.md?p=31) of the [qualified non-Native American veteran](/usc/38/3765.md?p=5).
- (b) **Use of Loan.—** In making direct loans under this subchapter to a [qualified non-Native American veteran](/usc/38/3765.md?p=5) by reason of eligibility under [subsection (a)](#a), the [Secretary](/usc/38/101.md?p=1) shall ensure that the [tribal organization](/usc/38/3765.md?p=4) permits, and the [qualified non-Native American veteran](/usc/38/3765.md?p=5) actually holds, possesses, or purchases, using the proceeds of the loan, jointly with the [Native American](/usc/38/3765.md?p=3) [spouse](/usc/38/101.md?p=31) of the [qualified non-Native American veteran](/usc/38/3765.md?p=5), a meaningful interest in the lot, dwelling, or both, that is located on [trust land](/usc/38/3765.md?p=1).
- (c) **Restrictions Imposed by Tribal Organizations.—** Nothing in [subsection (b)](#b) shall be construed as precluding a [tribal organization](/usc/38/3765.md?p=4) from imposing reasonable restrictions on the right of the [qualified non-Native American veteran](/usc/38/3765.md?p=5) to convey, assign, or otherwise dispose of such interest in the lot or dwelling, or both, if such restrictions are designed to ensure the continuation in trust status of the lot or dwelling, or both. Such requirements may include the termination of the interest of the [qualified non-Native American veteran](/usc/38/3765.md?p=5) in the lot or dwelling, or both, upon the dissolution of the marriage of the [qualified non-Native American veteran](/usc/38/3765.md?p=5) to the [Native American](/usc/38/3765.md?p=3) [spouse](/usc/38/101.md?p=31).