Consumers and loan originators may be tired of trigger leads, but the Mortgage Bankers Association (MBA) is just getting started… again.
MBA's President and CEO Bob Broeksmit, CMB, announces the reintroduction of the Homebuyers Privacy Protection Act in the U.S. House of Representatives and Senate, which is reported to be identical to the bipartisan legislation introduced by Congressman John Rose (R-TN) and Congressman Ritchie Torres (D-NY) during the last congressional session.
Senate Amendment 2358 previously garnered support from 42 cosponsors and passed the full U.S. Senate before stalling in the U.S. House of Representatives. It stems from the MBA-supported “The Homebuyers Privacy Protection Act of 2024,” aims to broadly limit the distribution and use of trigger leads sold by the national credit reporting agencies to various mortgage companies, unless the company was given proper consent, originated the loan, or has a current banking or servicing relationship with the consumer.
MBA President and CEO Bob Broeksmit, CMB, released the following statement on the reintroduction of the Homebuyers Privacy Protection Act:
“MBA has worked closely with industry stakeholders and a large, bipartisan group of lawmakers in the House and Senate to push for action that ends the abusive use of mortgage credit leads.
“Consumers remain vulnerable to trigger leads abuses, and we believe strongly that this common-sense legislation will curb the practice while preserving its value in appropriately limited circumstances.
“We commend trigger lead reform champions Senators Bill Hagerty (R-TN) and Jack Reed (D-RI) and Reps. John Rose (R-TN) and Ritchie Torres (D-NY) for their leadership, as well as the large bipartisan group of lawmakers for co-sponsoring the reintroduction of these companion bills. We will continue to advocate for House and Senate leaders to pass these measures into law as soon as possible.”
Bill Killmer, Executive Vice President Legislative and Political Affairs for the MBA, said the association continues to be a fierce proponent of reforms that stop the abusive use of mortgage trigger leads, while preserving their value in appropriately limited circumstances.
“H.R. 7297 does just that – in harmony with the bipartisan Reed/Hagerty bill (S. 3502) in the Senate. We commend Congressmen Rose and Torres for introducing this new bill today and will continue to work with House and Senate leaders to encourage action on this important consumer protection legislation as quickly as possible,” Kilmer added.
According to the National Association of Mortgage Brokers (NAMB) president Jim Nabors: “It is not unusual for bank customers to receive 100+ misleading texts, phone calls and emails within the first 24 hours of applying for a mortgage and the passage of this bill will go a long way in relieving this burden to homebuyers.”
“Buying a home is already a complex and stressful process. Consumers should not get needlessly ‘spammed’ with unsolicited, predatory offers just because they take a necessary step in the homebuying process. This bill would halt abusive trigger leads,” said Senator Reed, a senior member of the Banking, Housing, and Urban Affairs Committee. “The Homebuyers Privacy Protection Act will put consumers back in the driver’s seat and help cut down on the spam. It will help reduce predatory practices and provide much needed relief from unwanted industry calls, texts, and emails.”
“Unsolicited phone calls caused by trigger leads have become an intolerable nuisance to many Tennesseans,” added Senator Hagerty. “I’m pleased to join this bipartisan, bicameral legislation that will protect Americans’ data and help reduce endless spam calls.”
