Published: October 2024

Organizations weigh in on CFPB plan to mandate greater language assistance from mortgage loan servicers

Coalition: Americans for Financial Reform Education Fund Language Access Task Force

In comments submitted to the CFPB, organizations expressed support for the agency’s efforts to improve the availability of language assistance to mortgage borrowers seeking loss mitigation assistance, and offered suggestions for improvement and smoother implementation.

Civil rights and consumer advocacy organizations submitted comments to the Consumer Financial Protection Bureau (CFPB) in response to the agency’s Notice of Proposed Rulemaking under the Real Estate Settlement Procedures Act (RESPA), Regulation X. In the letter, the groups expressed support for the Bureau’s proposals to require mortgage loan servicers to provide: specified written communications in both English and Spanish to all borrowers; specified written communications in five servicer-selected languages upon borrower request; and language assistance for specified oral communications. They further suggested that the agency: expand the mandate for oral interpretation to cover more than five languages; specifically require that the five servicer-selected languages for written translations be based on a regular assessment of the language needs of the servicer’s borrower population; and remove the provisions that require servicers to provide translated written materials when the borrower received marketing in that language (due to the limited benefits it would provide to LEP consumers, particularly if a requirement for oral interpretation services in a broad array of languages were implemented). Language barriers make the process of seeking permanent loss mitigation solutions even more difficult. Requiring these steps of mortgage loan servicers would further the agency’s efforts to make avoiding foreclosure an achievable outcome for LEP borrowers.

Lead Organization

National Consumer Law Center and National Housing Law Project

More Information

Read the letter here.

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