Protecting Consumers from Abusive Mortgage Leads Act

Protecting Consumers from Abusive Mortgage Leads Act

This bill prohibits a credit reporting agency from providing a consumer's credit report to a third party in connection with a mortgage transaction unless (1) the third party provides documentation certifying that it has the consumer's consent, or (2) the third party has a current financial service relationship with the consumer.

Bill 118 hr 4198, also known as the Protecting Consumers from Abusive Mortgage Leads Act, aims to address the issue of deceptive and harmful practices in the mortgage lead generation industry. The bill seeks to protect consumers from being misled by companies that use aggressive tactics to gather personal information for mortgage leads.

The legislation includes provisions that require mortgage lead generators to clearly disclose their identity and purpose when collecting consumer information. It also prohibits the use of misleading or false advertising to entice consumers to provide their personal information.

Additionally, the bill establishes penalties for companies that violate these regulations, including fines and potential criminal charges. It also empowers the Consumer Financial Protection Bureau to enforce these regulations and investigate complaints from consumers. Overall, the Protecting Consumers from Abusive Mortgage Leads Act aims to promote transparency and accountability in the mortgage lead generation industry, ultimately protecting consumers from deceptive practices and ensuring that their personal information is handled responsibly.