04/30/25

OBL supports banning the practice of credit reporting firms selling consumer contact information to lenders who then barrage those same consumers with unwanted solicitations. The Homebuyers Privacy Protection Act, which would amend the Fair Credit Reporting Act, has bipartisan support, has been reintroduced in the House and Senate.  

“Trigger leads” are controversial for both consumers and the mortgage industry. When a mortgage lender orders a credit report on a consumer, the credit bureau providing the report may then alert various other mortgage lenders who have subscribed to a service of that fact, which is a good indication that the consumer is seeking a mortgage loan.

The consumer then will receive unsolicited offers from other mortgage lenders, often prompting the consumer to complain to the mortgage lender they are working with. Of course, that mortgage lender typically advises the consumer that the last thing they would do is let their competitors know that the consumer was seeking a mortgage loan.

The House and Senate legislation would amend the Fair Credit Reporting Act to prohibit consumer reporting agencies from furnishing a trigger lead except in limited circumstances. It passed the Senate during the last Congress but was not passed by the House.  

The OBL is in support of the Bill and will continue to monitor it closely.