Who does not pay the VA funding fee, and how to confirm it
Active duty Purple Heart recipients
Short answer
Service members on active duty who have received the Purple Heart are exempt from the funding fee. They must give the lender evidence of the award before or at closing. Veterans who received the Purple Heart and have since separated are exempt if they receive or are entitled to disability compensation.
Last reviewed against the primary sources listed below.
Documents to have
- Proof of the Purple Heart award.
- Your Certificate of Eligibility.
- A current statement of service, if the lender asks.
Exemption questions
Do Purple Heart veterans pay the funding fee after leaving active duty?
The Purple Heart exemption is for those on active duty at closing. Separated veterans are usually exempt through disability compensation.