How to Stop Mortgage Trigger Lead Calls
Find out From WaFd Bank to Stop Mortgage Trigger Lead Calls if You are Buying or Selling a Home
If you've bought or sold a house before, you might already be familiar with what can sometimes only be described as a tsunami of calls, emails and mail. All of it comes, for the most part, from companies you are not working with for your new mortgage.
So what's the deal? Is your lender selling your information? That's a common misconception, but most likely no.
What is a Mortgage Trigger Lead
Before you can find out who is selling your information, understand why your information gets sold. These companies are all reaching out to give you a competing offer, because you were interested in a mortgage and applied elsewhere. When a consumer (that's you) completes a mortgage application and gives the lender permission to pull their credit, the lender uses specific codes to get the records. These codes alert the credit bureaus (Experian, TransUnion, Equifax) that the consumer is shopping for a mortgage, and then the credit bureaus will turn these into trigger leads. That's when mortgage companies and other lenders buy these trigger leads. These companies will match up that information with contact information that is available in other databases, and that's when you start getting calls and mail.
You might not realize the company who is contacting you is not your lender. You might mistakenly believe that your lender sold your information, didn't keep your information secure, or that all the detailed information you gave in your application was exposed. Here is what actually happened; in most cases, your information was sold by one or more of the three major credit bureaus. This practice, although very frustrating, is and continues to be legal. You can read more from Federal Trade Commission's website explaining more about trigger leads.
The Impact of Trigger Lead Calls
Essentially, these companies are looking to gain your business and make money. It can be scary to get a phone call from a company you know you've never worked with before who has certain information—namely, your phone number. What else do they know? Typically, your name and a “soft pull” version of your credit report (that's used when you get credit card or other preapproved loan offers). That's about all the information they have. Always be aware of who exactly you're speaking with so you can keep as much information as possible secure. If you're ever in doubt, hang up and call your lender directly.
How to Opt Out of Credit Trigger Leads
To make sure you don't receive these types of calls, sign up for the National Do Not Call Registry at donotcall.gov. It takes about 24 hours to be added to the list, and according to the site, if you're already getting phone calls it can take up to 31 days to be removed from calling lists. This is a great step to take before you begin looking for a home so you can make sure your number isn't added to these lists in the first place. If you think you may have signed up already that same site will verify if your phone number is listed, and if it isn't, you can sign up right then.
You can also go to www.optoutprescreen.com or call 888-5-OPTOUT ( 888-567-8688) to begin the process of ending (or at least limit) unsolicited offers. You can opt out electronically for five years or mail in a permanent opt-out form that will prevent credit trigger lead calls for life.
Blocking Unwanted Calls
If you receive calls over and over again from the same number, block them using your phone (e.g. in the phone app tap More, then go through your call history and tap the number you want to block and choose Block). There are also apps you can download that will block unwanted calls, which acts as a filter to let you choose how to respond to calls as they're flagged as scams or spam. Lastly, call your phone provider to see what kind of services they offer or recommend.
Importance of Monitoring Credit Reports
Regularly viewing your credit report every year can help identify fraud, keep tabs on your open credit, and dispute any inaccuracies or mistakes on your credit report. This helps keep your credit healthy and help you get in front of potential problems, like misreported late payments. Checking your credit report before applying for a mortgage also gives you time to smooth out any errors so you can have a smooth application process and, if approved, closing process when you find the right house.
WaFd Bank is Here to Help
At WaFd Bank, we know navigating the buying and selling process can be daunting. We've been specializing in helping people achieve their home ownership dreams for over 100 years. To find out more, contact one of our neighborhood branch managers or call us at 800-324-9375. See why we were awarded Best Bank by Newsweek!
