Guam Consent to Credit History, Background and Reference Check by Potential Employee

State:
Multi-State
Control #:
US-04330BG
Format:
Word
Instant download

Description

This is a consent form to be signed by a potential Employee, permitting a credit history, background and reference check to be performed by the Landlord or Employer.


Businesses rarely prosper by treating employees unfairly. Successful businesses, particularly in nonunion settings, are a meritocracy. People are selected because of their qualifications and are advanced because of their performance. While commendable, this simple rule is not enough to avoid Equal Employment Opportunity (EEO) legal pitfalls. In Hawaii, for example, an employment application that inquires into felony convictions is unlawful on its face and can expose well-meaning employers and their individual managers to thousands of dollars in damages. The key to EEO compliance is depth of knowledge of the law and how it applies to your business. Here is our compliance and loss prevention approach.


This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.


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FAQ

Yes, employers or prospective employers typically require your written consent to check your credit score, especially under the Guam Consent to Credit History, Background and Reference Check by Potential Employee. This requirement protects your privacy and ensures that you are informed about the check. Always read any consent forms carefully to understand what information will be accessed.

Thanks to the Fair Credit Reporting Act (FCRA), employers can't go checking your credit history behind your back. They must have written consent before pulling an applicant's credit history.

With your consent, your future employer can contact past employers. A CRA will contact the employers listed on your resume or application to verify the dates you worked and the positions you held. They may also contact references you have provided to ascertain performance and character.

Employers can and do run pre-employment credit checks as a part of your application process, but they need your permission to do so. Getting a better paying job can be a good step towards improving your credit score.

If you decided to conduct a credit check as part of the hiring process, be sure to follow these steps and requirements:Understand the law.Always follow FCRA rules.Give notice to the applicant.Obtain permission from the applicant.Certify your compliance to the reporting agency.More items...

Employers sometimes check credit to get insight into a potential hire, including signs of financial distress that might indicate risk of theft or fraud. They don't get your credit score, but instead see a modified version of your credit report.

Credit scores typically do not show up on a background check. Most background checks for employment do not seek credit information, but rather, criminal history. They are typically looking for whether you are dangerous to employ. Some pre-employment screenings do go deeper and look at credit.

Unfortunately, while federal laws prevent discrimination in the workplace regarding race and gender, no such laws exist to prevent being denied a job due to poor credit history. So yes, in most states your credit report can influence the hiring decision.

Can an Employer Access My Credit? The Fair Credit Reporting Act (FCRA) lists who can obtain your credit report and for what purpose. Employers, for instance, are allowed to run a credit check for hiring and promotion decisions, but only if the applicant or employee has given written permission for them to do so.

According to the 2018 HR.com report, employers typically assess applicants based on their long-term credit history four to seven years overall unlike lenders. That means if there is a big discrepancy from a few years ago, an employer may still ask you about it even if your most recent credit history is healthy.

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Guam Consent to Credit History, Background and Reference Check by Potential Employee