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My bank received an application for a mortgage in which the co-applicant applied via FaceTime and not wish to furnish demographic information. Does the loan officer complete the application based on visual observation or surname or state that the co-applicant did not wish to furnish the information?

My bank received an application for a mortgage in which the co-applicant applied via telephone but used the FaceTime video feature. The co-applicant stated to the loan officer that he did not wish to furnish the demographic information (ethnicity, race, and sex). Under Regulation C, does the loan officer complete the application stating that the co-applicant did not wish to furnish the information or should the loan officer complete the demographic information based on visual observation or surname?

It appears that you would note that the co-applicant chose not to provide his demographic information and collect it on the basis of visual observation or surname. According to appendix B of Regulation C §1003 “[i]f you accept an application through electronic media with a video component, you must treat the application as taken in person” and goes on to state “[i]f the applicant chooses not to provide the information for an application taken in person, note this fact on the collection form and then collect the applicant's ethnicity, race, and sex on the basis of visual observation or surname.” (February 2021)

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