HB 470: Generally revise laws related to trigger leads - Montana

HB0470 Legal Review Note.pdf → HB0470_1(1).pdf · 4 edits

MODERATE

The bill was reformatted from a legal review note into an official House Bill, adding a new definition for 'trigger leads' to prohibit their use in mortgage advertising. It also expanded existing definitions to clarify what constitutes administrative tasks versus loan origination, and introduced new categories for non-profit and third-party entities to exempt them from certain regulations.

Scope change

The bill's scope expanded to explicitly define 'trigger leads' and 'bona fide not-for-profit entities', thereby clarifying which entities are subject to advertising restrictions and which are exempt.

DEFINITION

Added a specific definition for 'trigger lead' to prohibit using consumer credit data to initiate unsolicited mortgage communications.

Added new definitions for 'bona fide not-for-profit entity' and 'bona fide third party' to create exemptions for charitable organizations and service providers.

Modified the definition of 'clerical or support duties' to include the analysis of information, broadening the scope of exempt administrative tasks.

REQUIREMENT

Added a new section prohibiting the use of trigger leads as a form of false or deceptive advertising in mortgage communications.

HB0470_1.pdf → HB0470 Legal Review Note.pdf · 4 edits

MODERATE

The bill was converted from a legislative draft into a legal review note, which includes the original text plus an analysis of its constitutionality. The substantive policy changes involve defining 'trigger leads' as unauthorized credit inquiries and prohibiting their use in advertising to prevent identity theft, while noting that federal law still permits certain unsolicited credit offers.

Scope change

The bill's scope remains focused on mortgage advertising and identity theft prevention, but the document now includes a legal analysis confirming that the prohibition aligns with federal regulations regarding unsolicited credit offers.

DEFINITION

Added a specific definition for 'trigger lead' as information relating to creditworthiness compiled by a credit reporting agency that is not initiated by the consumer.

REQUIREMENT

Added a prohibition on using trigger leads in false or deceptive advertising to mitigate identity theft.

TECHNICAL

Changed the document format from a legislative bill draft to a legal review note containing statutory text and constitutional analysis.

SCOPE

Included an analysis explaining that the bill's restrictions on unsolicited offers are consistent with federal Fair Credit Reporting Act requirements.

LC2571.pdf → HB0470_1.pdf · 1 edit

MINOR

The bill was formally renumbered from LC 2571 to HB 470.1 and the sponsor's name was added to the header. These are administrative updates that do not alter the bill's legal content, scope, or policy requirements.

TECHNICAL

The bill number was updated from LC 2571 to HB 470.1, and the sponsor's name (T. Falk) was inserted into the introduction section.

Generally revise laws related to trigger leads

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