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Credit Reporting Agencies for Employment Background Checks

On Behalf of | Sep 12, 2013 | Consumer Protection

Consumers should be aware that you are supposed to review your
credit report on a regular basis to ensure the information
reporting on them is accurate.  Most consumers however are not
aware of the fact that there are more than just the three major credit reporting agencies out there
reporting your personal information that can have a great effect on
their lives.

Under the new amendments to the Fair Credit Reporting Act
(“FCRA”), during an
employment background check
, the employer is required to
provide  notice that they are going to access a persons credit
file to obtain personal information during the interview
process.  You must provide the employer with written consent
to access your information.  The catch is, even if you
accessed your credit report prior to submitting a job application
to assure the accuracy of the information reporting, it may not be
the same information your potential boss is

Since employment background checks have become a major factor in
the employment field, companies like Equifax Workforce Solutions
(“EWS”), a subsidiary of the credit bureau Equifax, have been
established for the sole purpose of verifying employment history
and income information of applicants.  EWS obtains its
information on consumers directly from its employer clients and is
a separate business from the credit bureau.  The service was
created to assist employers requesting salary and employment
history information of job applicants.

Employers provide EWS with payroll data and employment history
and then make it available for a fee to other entities authorized
to receive the private information, including employers, banks and
collection agencies.  EWS states it is in compliance with the
FCRA and that it provides your personal information only to those
requesting it with a legitimate purpose.  It further states that it must have the
consumer’s written consent prior to turning over the
information.  EWS claims accuracy of its data as each
consumer’s information is maintained by the employer who provides
it to EWS and it is not distributed to any other background
checking company.

Unfortunately, unlike with credit reporting agencies, there are
no websites set up for you to obtain a free copy of the information
reporting on your salary and employment history, but you can
however go to each of these companies and request a copy of your
information.  The report will likely include all employment
records the company has on file for you and will report any
companies that have requested your data over the last two

If you are having issues with your credit report or need
additional information on employment background checks contact
SmithMarco P.C. for a free case review.