Category: Credit Reports Archives | Sterling Talent Solutions

The background screening industry is highly regulated by federal, state and local laws. The Fair Credit Reporting Act (FCRA) is a federal consumer protection law dating back to the 1970’s that governs consumer background checks. The services and programs that a Consumer Reporting Agency (CRA), such as Sterling Talent Solutions provides, fall under the regulation of the FCRA….

Credit reports are used in all aspects of our lives from securing credit cards, getting a loan, renting a home and even getting a certain type of job. Every day, I see advertising for “free credit checks” either on TV or online. While most people think of an excellent credit score getting you a car…

Credit Reports are usually run when an individual is applying for credit or payment accounts, tenant or rental agreements or employment purposes.

The beginning of the year has been very busy with changes in hiring and employment laws from stringent ban the box laws in Los Angeles to bills being introduced on the local, state and federal levels banning salary history. These changing laws impact the hiring practices of every organization, big or small.

As a consumer, we all have rights under the Fair Credit Reporting Act to have our personal information protected, including our credit history. When you’re applying to new company, you’re never quite sure what to expect. Every company has different expectations and requirements of their candidates, often causing the employment background check process to vary by industry and company. On top of these requirements, the laws continue to change – adding an additional layer of complexity and making it crucial for HR teams to understand regulations pertaining to background screenings. And this is especially true for using credit reports as part of a company’s background screening policy.

Credit checks have been a hot topic in the employment screening industry for a number of years; however, two recent lawsuits involving the Equal Employment Opportunity Commission (EEOC) have drawn attention to the subject outside of the industry.