Opt-Out of Being a Trigger Lead to Prevent the Onslaught of Calls, Texts, and Emails from Lenders

Have you ever applied for a mortgage loan and were then bombarded with calls, text, emails, and letters from random lenders? You are not alone! This process happens because your data was sold as a trigger lead.

Besides being annoying, homebuyers can easily feel like their information was sold to the highest bidder and their trust violated. As an interested homebuyer, when your lender pulled your credit information from one of the big three consumer credit reporting companies (Equifax, Experian, and TransUnion), that action triggered an inquiry, making those credit bureaus aware of your current interest in buying a home. 

In addition to your lender learning more information about you, the credit bureau was also alerted of your interest and now has permission to sell your data to any lenders willing to pay for it. Under the Fair Credit Reporting Act (FCRA), as long as they meet the legal requirements set by the Federal Trade Commission, the company that has bought your information is doing nothing wrong. Trigger lead lists are legal in all 50 states. Mortgage lenders, auto lenders, car dealerships, credit card providers, insurance companies, and personal loan providers are all eligible to purchase this information. The argument is that it encourages competition among lenders, which ultimately leads to the best deal for you as the consumer and homebuyer. 

I disagree. Along with the down payment of your house, you should not be paying the price with your personal information. Because this practice is legal, unfortunately, your lenders do not have the power to block or restrict this process. However, you as the consumer have the ability to prevent it from happening. You can OPT OUT of being a trigger lead and take control.

Opt out of prescreened mail offers and prescreened credit and insurance offers by visiting https://www.optoutprescreen.com/ plus register for the National Do Not Call list by visiting DoNotCall.gov. Is there anything else we can do? In May 2022, a bill was introduced to the House of Representatives H.R.7661 — 117th Congress (2021-2022) to stop trigger leads. Contact your local representative to keep this conversation going. 

Before you unselect all of the options, talk to the lender with whom you are working to ensure you don’t remove yourself from communication that you actually want. Some folks do have valid reasons for staying on the list, and your lender will be able to advise you accordingly. Remember, the trick is to get this all done before you apply for your loan or line of credit.

Get in touch with me if you have any questions about your mortgage plan.