ToolGrym field guide
VA Funding Fee Explained
The VA funding fee helps support the program and can usually be paid at closing or financed. Your rate depends on loan type, prior use, and down payment.
- Format
- Plain-English explainer
- Practice
- 3 linked calculators
Written by the ToolGrym Editorial Team
Last reviewed:
What the fee does
The fee is a one-time percentage of the loan amount. It can be paid in cash or included in the loan, which increases principal and lifetime interest. Use the VA loan calculator to compare both choices.
Why the percentage varies
VA publishes different rates based on purchase versus refinance, first or subsequent use, and down-payment bands. Some borrowers are exempt, including certain veterans receiving qualifying service-connected disability compensation.
Confirm before closing
The lender’s disclosures and the VA’s current funding-fee table control. Do not substitute an online estimate for a Certificate of Eligibility or Loan Estimate.
Written by
The ToolGrym editorial team builds and maintains every calculator on this site. Each tool’s formulas are implemented as tested code and verified against authoritative sources such as the CFPB, Federal Reserve, IRS, and BLS.