Loans to refinance delinquent indebtedness

§ 1814. Loans to refinance delinquent indebtedness (a) Any loan to a veteran, if made pursuant to the provisions of this chapter, is automatically guaranteed if such loan is for one or more of the following purposes: (1) To refinance any indebtedness of the veteran which is secured of record on property to be used or occupied by him as a home or for farming purposes. (2) To refinance any indebtedness incurred by him in the pursuit of a gainful occupation which he is pursuing or which he proposes in good faith to pursue. (3) To pay any delinquent taxes or assessments on such property or business. (b) No loan may be guaranteed under this section unless— (1) such refinancing will aid the veteran in his economic readjustment; 72 Stat. 1212 (2) the amount of the loan does not exceed the reasonable value of the property or business as determined by the Administrator; and (3) such loan became in default or the delinquency occurred (A) before July 26, 1960, in the case of a World War II veteran (or, in the case of a veteran described in section 1801 (a)(1)(B) of this title, before the expiration of thirteen years after World War II is deemed to have ended with respect to him), or (B) before February 1, 1965, in the case of a Korean conflict veteran.