U.S. Senate Passes Bill Restricting Trigger Leads — RISMedia

One challenge that your buyer clients may face when applying for a mortgage are “trigger leads,” where after a lender makes a credit inquiry, a crediting reporting agency (CRA) can sell this information to third parties. The criticism of trigger leads is that they happen without the consumers’ knowledge and can result in spam marketing…but that may be changing.

The U.S. Senate has passed the bipartisan Homebuyers Privacy Protection Act, which restricts trigger leads. The corresponding bill in the House passed on June 23. The bill will need the signature of President Donald J. Trump before becoming law.

This bill states that trigger leads can only be used during limited scenarios, such as an active real estate transaction, and curb sale of…