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Back to Basics: Are Your Background Check’s Consumer Report Disclosures FCRA Compliant?

Background checks must comply with the Fair Credit Reporting Act (FCRA), so it is important employers ensure their process follows all guidelines. One that is often overlooked is the requirement to provide the employee or applicant with a written consumer report disclosure. When a company fails to do this, the FCRA’s favorable penalty provision states that the company’s willful or reckless violation of the FCRA will automatically generate a penalty of at least $100 (and up to $1,000) per violation, plus attorney’s fees and even the potential for punitive damages.

 

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Posted Under: Legal Issues

Post By Ken Shafton (1,987 Posts)