Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Exactly what does my credit score have to do with my being a good employee? I see this more and more.
I have had bosses and co-workers with great credit and some of them have been the worst kind of human being to walk the earth.
Its not as much a good score making a good employee as the fact that someone with a bad score could pose an unreasonable risk. So to avoid that risk someone with a score below a certain level may have extra scrutiny.
Exactly what does my credit score have to do with my being a good employee? I see this more and more.
I have had bosses and co-workers with great credit and some of them have been the worst kind of human being to walk the earth.
It's basically only a guideline that should be used.
At one time it was used to figure out how an employee handled their credit,
did they show responsibility when it came to their credit ?
It is right now practiced by car insurance companies. They state people with bad credit turn in more claims then people with good credit. So your credit rating has a lot to do with your insurance costs.
At one time it was used to gauge could this employee cost the payroll dept more money due to guarnishments. It is expensive for employers to handle guarnishments normally.
At one time it was used to gauge would the employee be getting collection calls while on the job.
Now a days, I'm not so sure if credit status should be a truly controlling figure in someone's decision whether to hire someone or not. So many fine good people have been decimated by medical bills, we all know about the costs of that. Many people have had both wage earners laid off, and let's face it your savings and unemployment is only going to go so far. People who've been laid off for 6 months and more, are going to have some financial struggles for the most part, sooner or later.
This is a whole new economy, and I think the employers should soften up about the credit scores even if the possible new employee would be handling money.
I will say though when I moved down South 3 years ago, every employer that I went to made me sign a paper that they could run my credit.
Credit score is also big if the job you are applying for means you will be handling money. If you owe everyone in town, you won't be getting a job as a bank teller...! Or any other job anywhere near money.
Today is common to do a credit check on an employee if they get a promotion. If you work for a company for 20 years and get a promotion, it's very likely they will do a credit check on you. If you can't handle your finances, you probably can't handle anything else....
Yep! Also, being an employee places you on the "inside". A competitor may find your position favorable to being used for corporate spying, and your financial position would determine your susceptibility to recruitment.
Credit score is also big if the job you are applying for means you will be handling money. If you owe everyone in town, you won't be getting a job as a bank teller...! Or any other job anywhere near money.
Today is common to do a credit check on an employee if they get a promotion. If you work for a company for 20 years and get a promotion, it's very likely they will do a credit check on you. If you can't handle your finances, you probably can't handle anything else....
Sorry but I totally disagree with you on that...Sometimes aperson has to toally jack up their finaces due to a unexpected life crisis...a divorce, a death in the family (like with a parent who may not have been financially prepared), a MAJOR illness, etc...
I think that there are those out there who that it may apply to but more often than not it usually is NOT a reflection upon how a person does can or does/do their job.
I do understand why a financial institution would look closer at someone's credit...if you are in financial "ruin", of course they may be more of a temptation to possibly committ fraud, but I think people who do that are going to do that.....it wouldnt matter what kind of job they are in anyway...
Well in this economy and hard times employers need to relax that requirement!! People are going to put food on the table for their kids, keep the electric and heat on, pay the rent or mortgage and say the heck with creditors right now.
I just think it makes no sense and has no rhyme or reason in some cases. I went to work as a civilian for a police agency without a credit or drug screening. They did background though. But yet to work for a call center you need good credit. I also worked for Macy's b4 during the holiday and again no credit check or drug screen. Now in retail you dealing with merchandise, customers credit info and ID. So go figure???
Well in this economy and hard times employers need to relax that requirement!! People are going to put food on the table for their kids, keep the electric and heat on, pay the rent or mortgage and say the heck with creditors right now. ???
From the employers perspective I might disagree... in this economy with the higher unemployment rate that means there are more people looking for work, thus more applicants, and chances are more higher quality applicants - so the employers can be pickier than before.
In a low unemployment market most folks are already working so they don't have as many applicants so they can't be as picky.
Kind of counter-intuititve when you are the worker - but its the way it is.
Sorry but I totally disagree with you on that...Sometimes aperson has to toally jack up their finaces due to a unexpected life crisis...a divorce, a death in the family (like with a parent who may not have been financially prepared), a MAJOR illness, etc...
I think that there are those out there who that it may apply to but more often than not it usually is NOT a reflection upon how a person does can or does/do their job.
I do understand why a financial institution would look closer at someone's credit...if you are in financial "ruin", of course they may be more of a temptation to possibly committ fraud, but I think people who do that are going to do that.....it wouldnt matter what kind of job they are in anyway...
You may disagree with me all you wish, but facts are facts. I realize some people get bad breaks and get behind the eight ball due to no fault of their own, but potential employers don't want excuses, and they don't like taking chances. If your credit isn't good, they employer will take the next choice on the list, the one with good credit.
Having spent a few years working for one of the largest background chcking firms in the nation, I can guarnatee you that someone with bad credit won't even get by the background check, let alone getting as far as an interview.
Background checks used to only be done on people being hired for management positions. That changed a few years ago when lots of crazy people started shooting up the workplace. Now pre-employnent back ground checks are done on everyone, even if you are going to work in the stockroom.
Some companies we dealt with even insist on a background check on any vendor employees which would enter their place of business. i.e, one large company insisted on having a background done on the guy who drove the Coke Cola truck which deliverd product to their company. Multi million dollar companies take no chances, and that has tricked down to all the small companies, too..
Not fair, perhaps, reality, absoutely...1
The checking of credit history is a past history way of thinking. Unfortunately people from the Old school way of thinking are still using excuses to eliminate people from the job market. Sorry Donn, your philosophy (and typing) is way off base.
Statisticians used credit history to manipulate insurance claims and skewed the information to show that people with lower credit scores will have higher insurance claims. Isn't that a self fulfilling prophecy. Its logical, a person with lower credit score, is going to be lower income, therefore have an older vehicle, drive it more for commuting, or for work, and need it more than the more wealthy, and if its involved in an accident is going to need it fixed faster, so yes he will file a claim, and he will have to keep the car longer. So, lower income, lower credit score, drives more, has probability for more accidents, more claims. Also because he keeps his car longer, other maintenance gets behind on the car, which the wealthy keep up on, and the lower finance group sometimes let slide, so the car will have things break which also cause accidents.
The information is manipulated for the affluent. They buy more expensive cars and sometimes pay less insurance than the poor on cheap domestic fords/chevys. All because of credit reporting, not because of driving records, and, zip codes, where you PARK the car. not where you drive it. (Don't believe me, Rent a PO Box, have your insurance policy sent there, watch your rates change)
In today's Economic time, of divorce, job lay-offs, credit rip-offs, mortgage fraud, credit history should be a very small factor, if any, that is considered in a job. A person's past history performance at a job, along with their criminal history, if pertinent, should suffice more than any employer's curiousity about a new candidates viability for a position with his company.
A credit history could have been great, until a divorce, who was the good payer, the spouse? or the one you are about to hire? ahhh, better to err on the side of safety. Move on, that is what the HR of today is, not look for the best candidate, weed out anyone you can, then see who has a possibility of being hired out of the remaining one's left. You removed the one's with a mark on their credit record, but, perfect for the job, now you might hire the one that is about to get divorced, or will be the next to crack. Better to hire someone that has gone thru it and not cracked, "gone Postal" and shot up the workplace, then risk someone that might. Ever think of it like that?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
