A background check is a process by which an individual or company checks a person’s criminal record, education, and employment history to ensure they are a good match for a particular job opportunity. These screenings are also common for housing applications, gun purchases, and even some insurance claims.
Background checks can reveal a wide variety of information. It is important to design a background check program that meets the needs of your business, is compliant with federal and state laws, and saves you money.
Criminal Records
A criminal history check reveals a person’s conviction and arrest histories, including pending or active charges, and other information from criminal justice agencies. This type of background check is most often used by employers to screen candidates for jobs or professional licenses.
CRAs, or consumer reporting agencies, are organizations that search national, state, and/or county criminal court databases to report the results of background checks on job applicants. These reports include felony and misdemeanor criminal convictions and any pending criminal cases.
Employers typically want to consider felony convictions over and above misdemeanors when deciding whether or not to hire someone, since it is easier to prove guilt beyond a reasonable doubt in a felony case. In addition, if an employer makes an adverse employment decision (like a job offer revoked) based on the findings of a criminal background check, it is legally required that they send the applicant an adverse action notice advising them of their decision and providing them with access to their full criminal background report.
Credit Checks
Many employers also use employment credit background check to evaluate the candidate’s past debt and financial obligations. This can include credit card debt, mortgages and car payments. These credit checks can go back seven or ten years, depending on the candidate’s specific state laws.
Drug Tests
Some employers, particularly in heavily regulated industries, require drug tests as part of the hiring process to ensure workplace safety. These can be either administered directly by the employer or through a third-party testing vendor.
The amount of time that can be spent on a background check depends on how comprehensive the investigation is and what types of data are being uncovered. The turnaround time can be as short as a few hours, or as long as a few days.
When selecting a CRA for your background check, it is important to choose one that is licensed and complies with the federal Fair Credit Reporting Act (FCRA). It’s also a good idea to ask a reputable CRA about their policies and services to help you determine which CRA is right for your organization.
Choosing a CRA is an important step in building a successful, FCRA-compliant background check program that will meet the needs of your business and comply with federal and state laws. The right CRA will help you navigate the legal process of running a background check so you can protect your company’s reputation, brand, and bottom line.