Mortgage groups are poised to get the bill passed in 2025
Trigger became a 2025 priority for the mortgage industry after the lead bill failed to pass. House of Representatives despite the confirmation last week. However, mortgage trade groups remain optimistic about the bill's prospects.
“It's still going to have to pass the House (this year), which is technically possible, but highly unlikely,” said Brendan McKay, owner. Mckay Mortgage and chief advocacy officer (BAC).
The legislation, introduced by Sens. Jack Reed (D-RI) and Bill Hagerty (R-TN), passed the Senate without amendment on Tuesday. It moved to the House, where it was slated for the suspension calendar — typically used for non-controversial bills that require a two-thirds majority for passage.
However, the House Financial Services Committee, chaired by Patrick McHenry, has raised concerns about procedure and policy. Those issues, including objections to using another legislative vehicle for the bill, echoed those that led to it from the Senate Fiscal Year 2025 Act (NDAA) in early November.
(MBA) said it will “continue to work with other coalition stakeholders and our allies in Congress, including a bipartisan set of 93 House and 44 Senate cosponsors. Renewed advocacy in 119 next year to advance this much-needed change to mortgage trigger policy through Congress.”
The bill aims to limit credit reporting agencies from sharing borrower information without consent unless the third party requesting the information did not originate the mortgage, is not a current loan servicer, or does not have a current established banking relationship with the consumer. The legislation addresses widespread complaints about unsolicited calls, texts and emails.
“Next year will be a test of whether Congress and/or federal agencies can do something, with broad bipartisan support and disregard for special interests — to ban causation claims that lead to abusive third parties the borrower neither knows nor wants,” said Scott Olson. , (CHLA) executive director. “CHLA is cautiously optimistic about what they can do.”
BAC's McKay is also optimistic because the bill passed unanimously in the tougher chamber, the Senate.
“When it's introduced next year, and we're lobbying congressional offices for support, we can not only make the same logical argument that exists, but we can point out that 100 US senators do not oppose this bill. a fact that will help legislators feel comfortable signing their names to the bill,” added McKay.
McKay also emphasized that while federal legislation is inherently difficult, the progress made this year — from inception to near passage — was “progress at the speed of light in DC.”
In the meantime, some pressure could come in November to propose a watered-down version of the bill. Their proposal was to allow “written offers” from any company receiving mortgage leads, while significantly limiting phone calls.
