Trigger Leads 101: What They Are and How to Make Them Stop

A trigger lead is a type of marketing lead sold by credit bureaus to lenders and mortgage companies. When someone applies for a mortgage and their credit report is pulled, it can act as a “trigger” for the credit bureaus to sell that consumer’s information as a lead to various other lenders. Essentially, the credit bureau is capitalizing on your interest in getting a mortgage by alerting other companies to your activity. This information is sold to lenders who pay to reach potential clients actively shopping for loans, even if they’re already in the middle of working with a lender.

Why Do Credit Bureaus Sell Trigger Leads?

Credit bureaus—Experian, Equifax, and TransUnion—operate as for-profit companies. In addition to generating revenue from selling credit reports, they also profit by selling “trigger leads” to lenders. When lenders know someone is in the market for a mortgage, they consider it a valuable opportunity to reach out and offer their services, hoping to win over the borrower. The unfortunate downside is that your personal information becomes a product for sale, leading to a constant stream of offers that can turn an exciting process into a frustrating one.

What Information is Included in a Trigger Lead?

Trigger leads typically include basic identifying information about you, such as your name, contact information (phone number and email address), and sometimes details about the type of mortgage you’re applying for. However, your actual credit score is not included, nor are any of the specifics that would give away your personal financial situation. Still, receiving offers from multiple lenders in a short time span can be overwhelming, especially as each one promises “the best deal.”

What makes this especially frustrating is that a single trigger lead can be sold multiple times. As a result, borrowers often receive 10 or more calls a day from various lenders vying for their attention. This onslaught can feel invasive and make the home-buying process unnecessarily stressful.

How to Prevent Most of This from Happening

The good news is that you can take action to significantly reduce the number of trigger leads generated when you apply for credit.  Here are a few steps to help curb the unwanted calls and emails:

1. Opt-Out of Prescreened Offers: Before applying for a mortgage, you can opt-out of prescreened credit offers. By visiting OptOutPrescreen.com or calling 1-888-5-OPT-OUT, you can remove yourself from the lists credit bureaus use to generate these offers. Opting out will not affect your credit score but will cut down on unsolicited offers.
2. Sign Up for the National Do Not Call Registry: Registering your phone number with the National Do Not Call Registry at donotcall.gov can reduce the number of telemarketing calls. Although it won’t eliminate them entirely, every step helps.
3. Reduce Your Physical Junk Mail: Register at DMAChoice.theDMA.org. This is the Direct Marketing Association’s website and will reduce the amount.

While it might be impossible to eliminate trigger leads completely, taking these steps can significantly reduce unwanted interruptions. Empower yourself, stay informed, and keep your peace of mind intact during the mortgage process.