Congress Takes Massive Step in Outlawing the Use of ‘Trigger Leads,’ Passes NAR-Supported Legislation

If you’ve ever applied for a mortgage, you may have been bombarded by calls, texts and emails from competing lenders and brokers after applying. At best, these messages are a nuisance; at worst, they’re nearly enough reason to change your phone number entirely. However, National Association of Realtors® (NAR)-supported legislation will put an end to this abusive practice known as “trigger leads.”

Trigger leads are a marketing strategy for mortgage brokers and lenders. When a consumer applies for a mortgage, the lender pulls the potential homebuyer’s credit report, which constitutes a hard credit inquiry. The three major credit bureaus (Equifax, TransUnion and Experian) receive the information that a consumer has applied for a loan and then are allowed to sell these trigger leads in bulk to competing lenders and brokers.

Consumers currently have no knowledge that their data is being sold, nor by whom, and they have very limited avenues to opt out. Often, consumers believe their real estate broker or agent, mortgage lender, mortgage broker or another party in the transaction has sold their information when, in fact, that is not the case.

However, the days of countless marketing calls and texts after applying for a loan may be over thanks to The Homebuyers Privacy Protection Act of 2025, which was signed into law on September 5.

The legislation—spearheaded by Representatives John Rose (R-TN) and Ritchie Torres (D-NY), along with Senators Bill Hagerty (R-TN) and Jack Reed (D-RI)—severely limits the use of mortgage trigger leads, except in minimal circumstances and with an already established business relationship. The law, which goes into effect on March 6, 2026, will stop credit bureaus from being able to see trigger leads.

NAR has advocated heavily for the end of these abusive trigger leads and worked with members of Congress to promote passage. The legislation was a collaborative effort involving a broad range of industry partners and consumer advocates, and a rare bipartisan win for Congress, which passed it unanimously in both chambers.

NAR will continue to monitor the implementation of this bill and advocate for measures that enhance transparency, consumer control and privacy in the mortgage process so that the spirit of the bill is upheld and that homebuyers are free from unnecessary and annoying calls, texts and emails.