Which federal legislation requires that, in cases where the borrower does NOT wish to provide information as to race or national origin, the loan originator must make a visual determination or use a surname as the basis for this determination?

The Home Mortgage Disclosure Act (HMDA) requires that if a borrower declines to provide information about their race or national origin, the loan originator must rely on visual observation or use the surname of the borrower to make this determination. This provision is in place to help ensure compliance with anti-discrimination laws by allowing lenders to gather demographic data, which can be used to monitor and analyze lending practices for potential discriminatory patterns. The goal of HMDA is to promote transparency in lending and to ensure that all borrowers have fair access to credit, regardless of their background.

Other legislation mentioned, such as the Truth in Lending Act, Fair Credit Reporting Act, and Equal Credit Opportunity Act, focus on different aspects of consumer protection and disclosure, but it is the HMDA that specifically outlines the procedure for handling situations where demographic information is voluntarily withheld by the borrower.