Mortgage trigger leads could be banned under new NDAA amendment

“We
believe
in
competition
and
a
fair
marketplace
and
consumer
shopping,”
NAMB
president
Valerie
Saunders
told

MPA
in
an
interview
early
this
year.
“That
is
a
key
component
for
borrowers
getting
the
best
mortgage
for
themselves.
However,
in
our
opinion,
that
should
be
the
choice
of
the
consumer
–
it
shouldn’t
be
thrust
upon
them.”

For
decades,
the
NAMB
and
other
industry
advocates
have
been
lobbying
to
end
this
practice,
which
they
believe
compromises
consumer
privacy
and
disrupts
the
mortgage
shopping
process.

The

bill,
introduced
by
Senators
Jack
Reed
(D-RI)
and
Roger
Wicker
(R-MS),
has
gained
bipartisan
support
and
is
now
part
of
the
managers’
amendment
to
the
NDAA.
The
inclusion
of
this
consumer
protection
amendment
in
a
national
defense
bill
marks
a
significant
step
forward
in
NAMB’s
long-standing
efforts
to
regulate
the
practice.

“This
is
a
great
first
step
in
NAMB’s
effort
to
pass
this
critical
legislation,”
the
association
said
in
a
statement.

Efforts
to
ban
or
limit
trigger
leads
have
been
slow-moving
over
the
years,
with
NAMB
pushing
for
an
amendment
to
the
Fair
Credit
Reporting
Act
(FCRA),
the
federal
law
that
currently
allows
the
practice.
In
2017,
NAMB
introduced
a
bill
that
passed
the
House
Financial
Services
Committee
but
failed
to
advance
further
before
the
end
of
the
congressional
session.