(800) 991-9694
Credit Reports
FCRA 101
There have been several stories in the news over the past year about background checks – some good and some not so good. But did you know that while background screening companies are required to follow the Fair Credit Reporting Act (FCRA), companies who work with third party screening companies, such as BackTrack, are also .. read more
Is Your Organization Ready to Pay $6 Million for an Employee Background Mistake?
By Scott Paler A recent class action settlement for $5.9 million with First Transit, Inc. reinforces the need for employers to review their background screening forms and procedures to ensure compliance with federal and state laws. The quick version—the plaintiff walked away with a smooth $5.9 million, which left First Transit, Inc., gasping for air .. read more
Oregon Law and Credit Reports
The state of Oregon has enacted legislation called the Job Applicant Fairness Act which restricts credit checks on job applicants. Senate Bill 1045 will limit employers’ access to credit reports on job applicants with certain exceptions. The current exceptions include: employers who are federally insured bankers or credit unions; employers that are required by state .. read more
How long should you keep employment records?
Clients have asked us how long do they need to keep the background screening reports that we supply to them. According to the Fair Credit Reporting Act (FCRA) Section 618, the statute of limitations states that employees may bring a claim not later than the earlier of: (1) two years after the individual discovers the .. read more
Database Criminal Searches and the Fair Credit Reporting Act
Does your company use criminal database searches to screen applicants? If so, Section 613 of the Fair Credit Reporting Act states – A consumer reporting agency which furnishes data from public records which are likely to have an adverse effect on a consumer’s ability to obtain employment shall either supply the information to the consumer .. read more
Site Inspections
We have received questions from our clients asking why a site inspection needs to be done on their company if they want to order a credit report. The short answer is the credit bureaus require it before we can order and provide a credit report to them for employment purposes. The whys behind that answer .. read more
Red Flag Alerts – Credit Report Discrepancies
Effective November 1, 2008, all users of consumer reports must adhere to the regulations regarding address discrepancies whenever they obtain consumer reports from a nationwide credit reporting agency (CRA). These regulations apply to all employers or other users of consumer reports and detail specific requirements of a user of these reports must follow when it .. read more
FCRA and State Law Review
Is your company’s employment screening program Fair Credit Reporting Act and/or state law compliant? Are you obtaining permission to conduct a background check from each applicant/employee you decide to screen? Applicant/employee authorization is required for every person you screen prior to the screening process. Are you using our 50 state compliant release authorization? If so, it helps .. read more
What is Adverse Action?
What is Adverse Action? Section 603(k)(1) of the Fair Credit Reporting Act (FCRA) states that an adverse action is “a denial of employment or any other decision for employment purposes that adversely affects any current or prospective employee.” These decisions include not hiring, not retaining or not promoting an individual. What does this mean for my .. read more
Consumer Reports and Investigative Consumer Reports
What is a Consumer Report? A Consumer Report is defined under the Fair Credit Reporting Act (FCRA) as “any written, oral, or other communication of any information by a consumer reporting agency bearing on a consumer’s credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living which is used or .. read more
Comment