“`html

Idaho Passes Trigger Lead Bill as National Ban is Brewing

Introduction

In a significant move to protect consumer privacy and prevent unwanted solicitations, Idaho has recently passed a bill aimed at regulating mortgage trigger leads. This legislation joins broader efforts across the U.S. to potentially ban trigger leads at the federal level. As a mortgage service provider, BD Mortgage Group is interested in understanding and navigating these changes to ensure compliance and enhance consumer experience.

What are Trigger Leads?

Trigger leads are generated when a credit inquiry is made in connection with a mortgage application. This process triggers credit bureaus to sell the consumer’s data to third-party companies, which then use this information to solicit mortgage products. While trigger leads can be a useful marketing tool for lenders, they often lead to unwanted calls and misleading solicitations, frustrating consumers and causing confusion in the mortgage application process.

Idaho’s New Law

Idaho’s House Bill No. 149, signed into law by Governor Brad Little on March 17, 2025, targets how consumer information tied to mortgage credit inquiries can be used. Key provisions of the new law include:

• Disclosure Requirements: Companies using trigger leads must clearly state that they are not affiliated with the original lender or broker and must disclose that the consumer’s information was purchased from a credit reporting agency without the original lender’s permission. [Source]
• Compliance with FCRA: Solicitations must comply with the Fair Credit Reporting Act’s (FCRA) pre-screening rules, including making a firm offer of credit. [Source]
• Protection for Opted-Out Consumers: It prohibits soliciting consumers who have opted out of pre-screened offers or are on do-not-call registries.

“`