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The Federal Housing Finance Agency yesterday published its redesigned Uniform Residential Loan Application form – ready for use in 2018 – that leaves off a language-preference question as urged by NAFCU.

"Fannie Mae and Freddie Mac have been working in collaboration with lenders, trade groups, mortgage insurers, housing and consumer advocates, technology solution providers, and other federal agencies to ensure that the revised loan application is easier to read, technology enabled and more consumer-friendly," FHFA Director Mel Watt said.

Earlier this month, Watt said that the FHFA would not add a language-preference question to its loan application form and would take alternative steps to determine how best to gather such data. NAFCU and seven other financial trades wrote Watt this June urging against adding a language-preference question to the URLA until compliance and legal concerns had been addressed. Fifty-four House members supported a delay in their own letter.

Upon learning the language-preference question would not be included on the form, NAFCU Executive Vice President of Government Affairs and General Counsel Carrie Hunt said the association greatly welcomed the decision and looks "forward to continuing to work with him and the agency as it seeks to address the needs of limited-English-proficiency consumers."

As far as gathering information about borrowers' language preferences, Watt said the agency will add relevant questions on the National Survey of Mortgage Originations and the American Survey of Mortgage Borrowers; issue a Request for Input to get feedback on the best ways to gather data about limited-English-proficiency borrowers and what information will allow lenders and servicers to help them during mortgage origination and after; and collaborate more extensively with stakeholders at other government agencies and with industry and consumer representatives.

Watt said the applications form must still undergo "safe-harbor" review by the CFPB.