Bill > HB240

This bill addresses unfair practices related to mortgage trigger leads, which are consumer reports generated when someone applies for a loan and trigger additional solicitations from other lenders. The bill defines a mortgage trigger lead as a consumer report obtained when a credit inquiry is made, and establishes specific rules for how lenders can use these leads. Specifically, when soliciting consumers using trigger leads, lenders must clearly state they are not affiliated with the original lender, comply with prescreened solicitation laws, avoid contacting consumers who have opted out of credit offers or are on the do-not-call registry, and refrain from making initial offers with rates or terms they know they will later change to the consumer's disadvantage. The bill also amends existing mortgage lender licensing regulations to explicitly prohibit engaging in these unfair or deceptive practices, making violations punishable under the state's Fair Business Practices Act. By implementing these protections, the bill aims to prevent predatory marketing tactics and protect consumers from misleading loan solicitations that could potentially exploit their initial loan application information.

Business and Industry

https://www.legis.ga.gov/legislation/69845