House Bill No. [insert bill number] seeks to enhance consumer protection in the mortgage industry by revising laws related to deceptive advertising and the use of "trigger leads." Trigger leads are defined as information about a consumer's creditworthiness obtained by credit reporting agencies in response to a credit application. The bill includes trigger leads in the definition of false or deceptive advertising, thereby aiming to mitigate identity theft. It also grants the Banking Commissioner the authority to regulate these trigger leads, reinforcing consumer protections.

The bill amends Sections 32-9-103 and 32-9-149 of the Montana Code Annotated (MCA), introducing new definitions and clarifications regarding trigger leads, while emphasizing that they do not include consumer reports obtained by licensed mortgage entities directly from consumers. Additionally, it prohibits licensees from operating under any name other than the one licensed by the department and outlines strict regulations against misleading advertising. The bill mandates that advertisements must include the name and unique identifier of the mortgage loan originator or licensed entity, ensuring transparency. It also includes codification instructions and a severability clause to maintain the enforceability of valid provisions if any part of the act is found invalid.

Statutes affected:
LC Text: 32-9-103, 32-9-149
HB0470_1(1): 32-9-103, 32-9-149
HB0470_1(2): 32-9-103, 32-9-149
HB0470_1: 32-9-103, 32-9-149