verb (used without object), prorated, prorating. 1. to make an arrangement on a basis of proportional distribution. verb (used with object), prorated, prorating. 2. to divide, distribute, or calculate proportionately. Origin of prorate.
Origination charge: The VA allows lenders to charge up to 1 percent of the loan amount to cover origination, processing and underwriting costs. They can choose to either charge you a flat 1 percent origination fee, or pick and choose among a host of fees, so long as they add up to no more than 1 percent.
VA funding fee (unless otherwise exempt) other reasonable and customary fees in a jurisdiction if. authorized by VA. *Construction Loans: If the lender supervises the progress of. construction and/or makes advances to a veteran in excess of. 50% of the loan during construction, alteration, improvement, or repair, then the lender may charge the veteran up to 2% of. the loan amount in addition to the lender's 1% flat charge.