One of the biggest misconceptions about the mortgage industry is that mortgage companies sell their customers’ personal information. However, this couldn’t be further from the truth for 99% of them. In reality, it is the credit bureaus – Experian, Equifax, and TransUnion – that sell customer information to third-party companies for mere pennies, leading to the bombardment of phone calls and mailings from other companies. In this article, we will explain how this process works and how customers can opt out of pre-screen offers.
Mortgage companies take customer privacy very seriously and are legally bound to protect their customers’ personal information. They do not sell customer information to third-party companies or share it without their customers’ explicit consent. In fact, mortgage companies are subject to strict regulations under federal and state law, which require them to protect customer information. If there is any sharing of information whatsoever with any affiliated companies they are legally required to disclose that to you in writing.
On the other hand, credit bureaus such as Experian, Equifax, and TransUnion are not bound by the same privacy regulations as mortgage companies. They collect and compile customer information, including credit history, address, phone number, email, employment information, etc and sell it to third-party companies for marketing and pre-screening purposes. This is how some mortgage lenders obtain customer information and reach out unsolicited to potential borrowers with offers via phone, mail or email.
If you are tired of receiving pre-screened offers for mortgage loans and other financial products, you can opt out of these offers by going to www.optoutprescreen.com. You can also opt out by contacting the credit bureaus directly online or by phone. The process is simple and free but www.optoutprescreen.com is the most efficient way to opt out. Once you opt out, the credit bureaus will stop selling your information for pre-screening purposes, and you will no longer receive these offers.
It is important to note though, if you opt out online then the opt out is only good for 5 years. If you choose to, when you visit www.optoutprescreen.com you can fill out the mail in form and be permanently opted out.
In conclusion, mortgage companies do not sell their customers’ personal information, and the phone calls and mailings that consumers receive are a result of credit bureaus selling customer information to third-party companies. By opting out of pre-screen offers, you can reduce the number of unsolicited calls and mailings you receive when you apply for a mortgage.