LETTER FROM LEADERSHIP

BAC Advocates and Partners, 

We've received news regarding the Trigger Lead legislation that will be disappointing for many people to hear, and honestly, it's personally disappointing for us to share.

But before we share, this update is not the entire story. The entire story is an incredible testament to what an entire industry can accomplish when working together on issues they agree on rather than fighting over minute details that don’t matter much. The mortgage industry rallied together for the good of the consumer, and that should be applauded.  

Over the last two years, companies and organizations that cover every inch of this industry have linked arms to lend their support to a bill that had almost zero momentum in the last two Congressional Sessions. The Trigger Lead Bill amassed 90 co-sponsors in the House and 43 in the Senate, bringing over 130 Legislators together to support this cause. Not only did we help garner bipartisan support, but there are co-sponsors on the bill who have never agreed on anything else in their careers.

The industry came together under an incredible coalition, organized by the MBA, that worked tirelessly and communicated constantly all with one focus in mind: moving Trigger Lead Legislation forward. The Broker Action Coalition took over 250 meetings on Capitol Hill with lawmakers to push discussion and support. We are proud of the work the BAC has done, we are proud of the work all of our advocates have done, and we are proud of the work the entire industry has done to best serve homebuyers. We hope and expect to see this collaboration repeated next year.

You've probably guessed it by now, but the Trigger Lead Bill is unlikely to pass this year. While it is not fully dead yet, and work is still being done, it's got a steep uphill climb if it’s going to happen before the end of the year. This bill, along with a slew of other provisions, were stripped out of the current version of the NDAA package. Theoretically it can get back in, and we’re going to work like hell to try and do just that, but we’re aware of the realities of the situation.

While we aren't quitting, if it does not move forward this year, you better believe we will be right back at it next Congress. We will have a massive head start, and there are all the reasons in the world to be optimistic. 

Furthermore, earlier this week, the CFPB introduced a proposed rule change restricting Credit Bureaus’ ability to sell consumer data. The proposal is 220 pages long, and our Government Affairs Council is working through it at the time of publication. However, we expect the BAC to fully support the CFPB’s efforts. 

We want to make one thing very clear. There is exactly one segment of Consumer Finance groups that has fought against this legislation. Over the last two years, the Credit Bureaus have engaged in practices that can be described as nothing other than price-gouging. Credit Report costs have doubled since 2022 and we’re facing another steep increase next year. Over that same period of time, FICO’s stock price has increased 480%. The Credit Industry has no possible justification for protecting its ability to sell consumer data without their explicit consent other than greed. One Credit Bureau in particular started behaving like an adversary rather than a partner quite some time ago, and it's time that we stopped treating them in any other manner. 

Are Credit Bureaus powerful? Yes. Are they well funded? Sure. Are they more powerful than all of us together? No, not even close. The Mortgage Industry is tenacious and will come back in 2025 to fight for this legislation even stronger. The BAC will be there leading the charge. 

 
We'll never stop advocating for Mortgage Brokers. We will never stop fighting for consumers. The fight continues.

Katie Sweeney, BAC Chief Executive Officer & Co-Founder

Brendan McKay, BAC Chief Advocacy Officer & Co-Founder