On May 7, 2014, the Department of Veteran Affairs issued VA Circular 26-14-10 to clarify its policy on the treatment of unallowable fees when lenders charge a loan origination fee that is less than one percent of the loan amount on purchase and cash-out transactions, and less than one percent of the payoff amount on interest rate reduction refinance loans (IRRRLs). The VA Circular also provides examples on its clarifications.