"Only an applicant may self-identify using the disaggregated ethnicity and race categories"

If a Financial Institution takes an applicant by phone is the FI allowed to ASK for this disaggregate information?

Yes, in fact you must. The point is the lender can't pick sub-ethnicity & sub-race categories.

Thanks David

The financial institution is required to ask. As David said, if the application is face to face and the applicant declines to provide the information, the FI only selects from the aggregate categories.