The bill, if signed, will prohibit credit bureaus from selling consumers' data after their credit reports are pulled for things like mortgage applications. The bill makes an exception for the borrower's original mortgage lender and for banks or depository institutions where the borrower already has an account.

The legislation's passage was cheered by industry groups who have long advocated for a ban on trigger leads, including the Mortgage Bankers Association and the Community Home Lenders of America.

"This new law will help protect consumers from the barrage of unwanted calls, texts, and emails they too often receive immediately after applying for a mortgage," said Bob Broeksmit, president and CEO of the MBA, in a statement. "It marks a major victory for borrowers and will create a more efficient, responsible, and respectful home buying process."

Brendan McKay, chief advocacy officer at the Broker Action Coalition, celebrated the move in a Linkedin post. Banning trigger leads has long been a top priority for the group.

"When the Broker Action Coalition was founded three years ago, we asked Mortgage Brokers what mattered most," McKay said in a Linkedin post. "Trigger Leads legislation was the clear #1 priority. Two Congressional sessions later? Mission accomplished."

Industry groups have been pushing for a trigger lead ban for at least a year. They've called the practice abusive and argued that it's bad for consumers, who are often inundated with calls and texts by lenders they don't know. Advocates say that the law will help protect consumer privacy and create more trust in the homebuying process.

Groups had previously pushed for more regulation from the Consumer Financial Protection Bureau. Last year, the CHLA sent a letter to the agency calling trigger lead solicitations "junk calls" and urging it to take stronger enforcement actions against abusers. But with the agency now mostly neutered by the Trump Administration, the impetus fell on Congress to act.

Some states have already moved to limit the practice. Last December, Texas regulators enacted new rules requiring lenders to inform borrowers how they found their information, and Idaho passed a similar law in March.