A law that requires mortgage loan documents to be translated into the language in which the verbal negotiations were conducted became effective on July 1, 2010. This law, AB 1160, requires a supervised financial organization, as defined, that negotiates primarily in Spanish, Chinese, Tagalog, Vietnamese, or Korean in the course of entering into a contract or agreement for a loan or extension of credit secured by residential real property, to deliver, prior to the execution of the contract or agreement, and no later than 3 business days after receiving the written application, a specified form in that language summarizing the terms of the contract or agreement, as specified. Read here.
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