Bill Summary
The Multilingual Financial Literacy Act is a proposed bill in the United States that would require the Financial Literacy and Education Commission to conduct a study on the impact of language barriers on financial health. This study would include examining access to financial education, credit score outcomes, and homebuying for those with limited English proficiency. The Commission would consult with all agencies represented on the Commission and issue a report to Congress within six months of the bill's enactment.
Additionally, the bill would require the Commission's website and toll-free telephone number to be provided in at least eight of the most commonly spoken languages in the United States, as determined by the Bureau of the Census. The Secretary of the Treasury would provide translation services to comply with this requirement. The bill also encourages coordination and promotion of efforts by federal agencies to make financial literacy resources available in multiple languages.
Within 12 months of the bill's enactment, the Commission would also issue a report to Congress with legislative and regulatory recommendations to address barriers to financial inclusion caused by language barriers. This report would also include a summary of the Commission's efforts to increase financial literacy, as well as analyses of financial literacy needs, limited access to credit, and the wealth gap across different groups.
Possible Impacts
1) Increased access to financial literacy resources for individuals with limited English proficiency: This legislation requires Federal agencies to make financial literacy resources available in the 8 most commonly spoken languages in the United States, determined by the Bureau of the Census. This can greatly benefit individuals who may face language barriers and struggle to understand financial information and make informed decisions.
2) A more comprehensive understanding of financial barriers faced by different groups: The study required by this legislation will analyze the impact of language barriers on financial health for different groups, including age, race, ethnicity, and language preference. This can help policymakers better understand the specific challenges faced by these groups and develop targeted solutions.
3) Increased accountability for federal agencies to provide language accessible resources: This legislation requires federal agencies to not only make financial literacy resources available in multiple languages, but also provide information on which resources are available in which languages. This can help ensure that agencies are actively working towards providing equal access to financial information for all individuals, regardless of language.
[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2835 Introduced in House (IH)]
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118th CONGRESS
1st Session
H. R. 2835
To require the Financial Literacy and Education Commission to carry out
a study on the impact of language barriers to financial health, to
require the website and toll-free telephone number of the Commission to
be provided in the most commonly spoken languages in the United States,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 25, 2023
Ms. Garcia of Texas (for herself, Mrs. Beatty, Mr. Nickel, Mr. Green of
Texas, and Mr. Vargas) introduced the following bill; which was
referred to the Committee on Financial Services, and in addition to the
Committee on Education and the Workforce, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To require the Financial Literacy and Education Commission to carry out
a study on the impact of language barriers to financial health, to
require the website and toll-free telephone number of the Commission to
be provided in the most commonly spoken languages in the United States,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Multilingual Financial Literacy
Act''.
SEC. 2. STUDY ON THE IMPACT OF LANGUAGE BARRIERS TO FINANCIAL HEALTH.
(a) Study.--The Financial Literacy and Education Commission shall
carry out a study on the impact of language barriers to financial
health, including access to financial literacy education and training,
credit score outcomes, the cost of credit, and homebuying across groups
with limited English proficiency.
(b) Consultation.--In carrying out the study required under
subsection (a), the Financial Literacy and Education Commission shall
consult with every agency represented on the Commission.
(c) Report.--Not later than the end of the 6-month period beginning
on the date of enactment of this Act, the Financial Literacy and
Education Commission shall issue a report to the Committee on Financial
Services of the House of Representatives and the Committee on Banking,
Housing, and Urban Affairs of the Senate--
(1) containing all findings and determinations made in
carrying out the study required under subsection (a); and
(2) analyzing the need for language accessibility across
the financial services industry, including an identification of
any industries in which information is provided solely in one
language, highlighting any products, services, or other
financial offerings with information which is limited in their
availability beyond English.
SEC. 3. LANGUAGE ACCESS TO COMMISSION WEBSITE AND TOLL-FREE TELEPHONE
NUMBER.
(a) In General.--Section 514 of the Financial Literacy and
Education Improvement Act (20 U.S.C. 9703) is amended--
(1) in subsection (b)(2)--
(A) in subparagraph (D), by striking ``and'' at the
end;
(B) in subparagraph (E), by striking the period at
the end and inserting ``; and'';
(C) by adding at the end the following:
``(F) be provided in at least 8 of the most
commonly spoken languages in the United States, as
determined by the Bureau of the Census.''; and
(D) by adding at the end the following:
``(3) Information on language resources from federal
agencies.--The website established under paragraph (1) shall
contain a separate website that provides--
``(A) information on which Federal agencies provide
financial literacy and education resources in languages
other than English, including which resources are
available in which languages; and
``(B) guidance on where individuals can find
Federal agency resources in a particular language for
various topic areas.
``(4) Translation services provided by the department of
the treasury.--The Secretary of the Treasury shall provide the
translation services necessary to comply with the language
requirement under paragraph (2)(F).'';
(2) in subsection (c), by adding at the end the following:
``The toll-free telephone number shall provide verbal
assistance to members of the public in each of the 8 most
commonly spoken languages in the United States, as determined
by the Bureau of the Census. The Secretary of the Treasury
shall provide the staff necessary to comply with such language
requirement.''; and
(3) by adding at the end the following:
``(j) Language Access to Federal Agency Information.--The
Commission shall coordinate and promote efforts of Federal agencies to
make all financial literacy and education resources of Federal agencies
available in each of the 8 most commonly spoken languages in the United
States, as determined by the Bureau of the Census.''.
(b) Application.--The provisions of law added by this section shall
apply after the end of the 1-year period beginning on the date of
enactment of this Act.
SEC. 4. POLICY RECOMMENDATIONS.
Not later than the end of the 12-month period beginning on the date
of enactment of this Act, the Financial Literacy and Education
Commission shall issue a report to the Committee on Financial Services
of the House of Representatives and the Committee on Banking, Housing,
and Urban Affairs of the Senate containing--
(1) legislative and regulatory recommendations on how to
address barriers to financial inclusion caused by language
barriers, including financial literacy education and training
and the role that emerging technology and financial products
play in helping or harming communities with limited English
proficiency;
(2) a summary of--
(A) the actions taken by the Commission to
implement the amendments made by section 3; and
(B) any actions taken by individual Federal
agencies that are members of the Commission to make
financial literacy and education resources of the
agency available to the public in each of the 8 most
commonly spoken languages in the United States, as
determined by the Bureau of the Census; and
(3) an estimate of the cost needed--
(A) to implement the amendments made by section 3;
and
(B) for each Federal agency that is a member of the
Commission to make financial literacy and education
resources of the agency available to the public in each
of the 8 most commonly spoken languages in the United
States, as determined by the Bureau of the Census.
SEC. 5. ANNUAL REPORT ON FINANCIAL LITERACY.
Section 514(h)(2) of the Financial Literacy and Education
Improvement Act (20 U.S.C. 9703(h)(2)) is amended--
(1) in subparagraph (I), by striking ``and'' at the end;
(2) by redesignating subparagraph (J) as subparagraph (O);
and
(3) by inserting after subparagraph (I) the following:
``(J) a summary of the Commission's efforts over
the previous year to increase financial literacy across
all member agencies of the Commission;
``(K) an analysis of where there are financial
literacy needs across different groups, including
information by age group, socioeconomic status, race,
ethnicity, and language preference;
``(L) an analysis of limited access to credit and
disparate credit scoring across different groups,
including information by age group, gender, sexual
orientation, socioeconomic status, race, ethnicity, and
language preference;
``(M) an explanation of how a lack of financial
literacy, systemic barriers, and other obstacles result
in a wealth gap across different groups, including
information by age group, gender, sexual orientation,
socioeconomic status, race, ethnicity, and language
preference;
``(N) proposals and potential policy solutions for
addressing barriers to financial literacy, disparate
credit scoring, and the wealth gap; and''.
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