As the recession has worsened,
employers have become pickier and many of them are using credit checks to help
them in their hiring decisions.
Here's what you need to know:
- Employers must notify candidates in writing before
they do a credit check.
- A credit check can legally be used as part of the
hiring process; but employers must receive your written approval before
pulling your credit report.
- You have a right to deny an employer access to
your credit report; but the employer also has the right to deny you the
opportunity to apply for the job.
They may say "this job requires a credit check."
- If an employer wants to deny you a job because of
information in your credit report, they must first give you a
"pre-adverse action disclosure" which includes a copy of your
credit report and a copy of your rights.
- You have a right to dispute the accuracy of your
credit report and the right to a free copy of your credit report if
requested within 60 days of losing the job opportunity.
If you have negative
information on your credit report that you believe may affect your job
opportunities, you may want to take the opportunity to explain it to a
potential employer. The credit bureau also allows you to submit a written
statement which will be included with your credit report.