Loading chat...

IA HF857

Bill

Status

Passed

4/18/2025

Primary Sponsor

Commerce

Click for details

Origin

House of Representatives

91st General Assembly

AI Summary

  • Prohibits financial institutions from using unfair or deceptive practices when soliciting consumers with prescreened mortgage trigger lead information obtained from consumer reports after the consumer has applied for a loan with a different lender

  • Defines "mortgage trigger lead" as a consumer report triggered by a credit inquiry related to an application for real property-secured credit, excluding reports obtained by the institution where the consumer initially applied or that holds their existing credit

  • Requires financial institutions to clearly disclose they are not affiliated with the lender where the consumer originally applied, make firm offers of credit, and honor opt-out requests and do-not-call registries

  • Prohibits bait-and-switch tactics where solicited rates, terms, or costs are later changed to the consumer's detriment

  • Violations constitute an unlawful practice under Iowa Code section 714.16, effective July 1, 2025

Legislative Description

A bill for an act relating to solicitation by a financial institution using prescreened trigger lead information from a consumer report. (Formerly HSB 150.) Effective date: 07/01/2025.

Last Action

Signed by Governor. H.J. 1012.

4/18/2025

Full Bill Text

No bill text available