However, in most states it's perfectly legal under federal law. Specifically, section 604 of the Fair Credit Reporting Act states that it's permissible to use credit information for employment purposes.
The one caveat is that potential employees must give you written permission to access my credit rating Rhode Island their credit report.
Also, keep in my credit rating Rhode Island mind that credit reporting agencies won't provide you with the actual credit score of employees or prospective hires. Instead, they'll provide you with a credit report designed specifically for employers. This report contains information about the payment habits of the person in question but not an actual credit score.
Employers are required under federal law to tell candidates if they used the credit information to deny them the job. In reality, however, most employers find some other reason for not hiring the candidate -- or simply don't give them a reason at all -- just to avoid all the legal complications and rigmarole. While it may be perfectly legal to use a job applicant's credit report in the hiring process, some question whether it's ethical. After all, sometimes there are good reasons why people fall behind on their payments or can't pay their bills. An unexpected medical procedure, for example, or a long layoff can put normally trustworthy people on precarious financial footing. check credit online As a result, it may be unfair to penalize these people even more by my credit rating Rhode Island denying them a job they are otherwise qualified to do. That's probably why 16 more states, including New York,Ohio, Oregon, and South Carolina, are considering their own my credit rating Rhode Island ban on employer credit checks, viewing them as just another hurdle for those desperately out of work.
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