Tag Archive | FCRA

FCRA Background Check Notices to be Updated

Effective January 1, 2013, employers are required to update their Fair Credit Reporting Act (FCRA) notices to reflect modest changes to the mandatory Summary of Rights Form.  The recent notice changes are a result of the Consumer Financial Protection Bureau taking over responsibility for enforcing the FCRA from the Federal Trade Commission. The Summary of […]

EEOC Turning Up the Heat on Credit Checks for Applicants!

The Equal Employment Opportunity Commission (EEOC) is turning up the heat on the use of credit histories in the hiring process.  The EEOC’s primary concern is that minority groups typically have poorer credit, and therefore the practice has a disparate impact on those groups. There is also a question of whether credit histories have any real […]

Be Careful! The FTC is Going After Employers That Fail to Provide FCRA-Required Notice!

On August 11, 2009, the FTC filed complaints in federal court against two companies alleging that they were contracting with an outside consumer reporting agency to conduct background checks that included criminal record reviews without providing the applicant or employee with proper notice.   The complaints in United States v. Quality Terminal Servs. LLC, No. 09cv01853-CMA-BNB (D. Colo. […]

An End to Credit Checks for Applicants?

On July 9, 2009, Representative Steve Cohen (D-TN) introduced a bill entitled “The Equal Employment for All Act” (H.R. 3149) that would prevent employers from using consumer credit checks for the purpose of making adverse employment decisions.  Florida Representatives Meek and Hastings also sponsor this legislation.  Under the Equal Employment for All Act, the Fair […]