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Fair Credit Reporting Act |
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FCRA - The Fair Credit Reporting Act protects employees and employment applicants from the unauthorized use of "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 expected to be used for  employment purposes. For example, an employer may contact an outside entity requesting a background check on an employment applicant. That background check may include investigation into the employee or applicant's driving records, criminal history, education, prior employment, and even personal credit. All of this information is protected by the FCRA. Prior to seeking this information or utilizing it, the employer is generally required to notify the employee that they are seeking a credit report and must receive the employee's written consent. If the information received from a credit report is used to make an adverse employment decision, the employee must also receive notice. The notices must include specific language.
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Excelent overview!  |
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