People asking for credit checks when applying for a job (Weston: insurance, fingerprints)

[Foxrivman1]

Ok, I thought I'd open this up for discussion since my views are pretty straight forward regarding the topic.

First, I've never been asked to check my credit when working for a job, or when applying for one. Period.. I do agree that background checks for criminal infractions is a different story.

Second, I would never allow anyone who is considering hiring me to use my credit or credit score in judging my job worthiness. No one, other than people loaning you money whether it be credit cards, loans, mortgages, including potential landlords should be checking your credit.

My question is, how many people in the SWFL area have had there credit checked as a pre-cursor to employment? If so, what was the reason given by the potential employer to do this?

[TamRE]

As a teacher I had to have fingerprints and a background check, but never heard of a company doing a credit check. I found this article online.

How bad credit can cost you a job - MSN Money

Unemployment can make it hard to pay bills, but failing to do so can damage your job prospects. Here's how to handle a potential employer's request to run a credit check. By Liz Pulliam Weston MSN Money

Know your rights
If you're concerned about your credit history affecting your job prospects, here's what you should know:
An employer needs your permission to run a credit check. The Fair Credit Reporting Act requires your written permission anytime an employer hires a third party to conduct a background check, said human-resources consultant and attorney Wendy Bliss. That includes running a credit report. Of course, you likely won't get the job or promotion if you don't give permission. But failing to get your OK before getting a report is an FCRA violation, said Bliss, the author of "Legal, Effective References: How to Give and Get Them" and "The Employment Termination Source Book."

[angelfish]

I have never not heard of having your credit pulled during your background check but may have more to do with working in some industries vs. others.

I agree that it does not necessarily determine someones job worthiness. A good employee may be in an unfortunate position perhaps with and upside down mortgage or something of the sort, and a credit check tells one side of the story and it's over before there is even an interview. Although someone consistently making late payments or non payments definitely raises the reliability factor and may save the employer money in the long run by not investing in that individual.

Unfortunately good jobs are hard to come by and it sounds like more and more employers are requiring it. I think the ball is in the the employers court, anyone who doesn't want to provide their information, there are a hundred more people lined up that will furnish it to get that job.

[Foxrivman1]

Angelfish, thanks for your opinions.

I was hoping to hear from someone as to whether they actually were approached to check their credit while applying for a job.

Good points though, although I still don't believe a persons credit should be a factor in determining employment. I sort of reckon it to using it to determine a persons insurability, insurance folks use these numbers to jack rates or give better rates and/or decrease your insurance rating, they simply don't show what the person is capable of, although driving records do. And, as you said, they are a one-sided view, a snapshot of a persons their financial situation.

[Foxrivman1]

Originally Posted by TamRE

As a teacher I had to have fingerprints and a background check, but never heard of a company doing a credit check. I found this article online.

How bad credit can cost you a job - MSN Money

Unemployment can make it hard to pay bills, but failing to do so can damage your job prospects. Here's how to handle a potential employer's request to run a credit check. By Liz Pulliam Weston MSN Money

Know your rights
If you're concerned about your credit history affecting your job prospects, here's what you should know:
An employer needs your permission to run a credit check. The Fair Credit Reporting Act requires your written permission anytime an employer hires a third party to conduct a background check, said human-resources consultant and attorney Wendy Bliss. That includes running a credit report. Of course, you likely won't get the job or promotion if you don't give permission. But failing to get your OK before getting a report is an FCRA violation, said Bliss, the author of "Legal, Effective References: How to Give and Get Them" and "The Employment Termination Source Book."

Thanks TAMRe, but there isn't an employer I would personally work for in my line of business if they ran credit checks on potential employees.

Personally, I believe if an employer predetermines your worth/value based on running a Credit Check prior to employment, he is not worth working for either, IMHO.

I've worked since I was 15 1/2 and never in all my years of employment have had one single potential employer ask to do it. Frankly, it simply is not their business anyway.

Think about this, who is going to owe you money at the end of the day when you work for someone else, that's right, the employer is. Kind of sounds funny if you ask me, sounds like I'm the one extending credit. Maybe I should be able to run his credit before I agree to work for him? I've been stiffed more times than I can count on several commission jobs, yet if I suggested to the employer I'd like to run his D&B, I would most likely be targeted for dismissal in one way or another. Just a thought, sorry for making it longer than it should have been.

[angelfish]

Think about this, who is going to owe you money at the end of the day when you work for someone else, that's right, the employer is. Kind of sounds funny if you ask me, sounds like I'm the one extending credit. Maybe I should be able to run his credit before I agree to work for him? I've been stiffed more times than I can count on several commission jobs, yet if I suggested to the employer I'd like to run his D&B, I would most likely be targeted for dismissal in one way or another. Just a thought, sorry for making it longer than it should have been.[/quote]

Wow, yes your right. Never even gave that much thought.... I wonder what kind of look I would get if I was ever in the position to ask them to exchange their information. Comical.

[PaulaC]

Many times, the credit check is part of the pre-employment paperwork. I've done it quite a few times and it doesn't bother me a bit. It sometimes appears on the same sheet you sign when you allow the background check. In the last 10 years, I've had this done by most large companies.
If you feel it's not their business, then by all means, don't work for them. It's as simple as that. I'm just pointing out that it is not uncommon at all, at least in my line of work.

[Foxrivman1]

Originally Posted by PaulaC

Many times, the credit check is part of the pre-employment paperwork. I've done it quite a few times and it doesn't bother me a bit. It sometimes appears on the same sheet you sign when you allow the background check. In the last 10 years, I've had this done by most large companies.
If you feel it's not their business, then by all means, don't work for them. It's as simple as that. I'm just pointing out that it is not uncommon at all, at least in my line of work.

Paula, thanks for your reply, without disclosing who you work for, could you tell us what kind of work you do? Not asking for names, of course, just the type of work you do. I find it interesting that anyone needs to know what your personal credit report looks like as a requirement of work service.

So you know, I've also worked for some very large companies as well, one with over 12 billiion in annual worldwide sales, but never was I asked to run my credit.

[LovePalms]

I've heard of it specifically in the banking industry and in government work where a security clearance is required.

[bbronston]

I was an HR Manager in my previous "life" with Macy's in NY and another retailer, Korvettes. We did employment checks that included credit checks, as I recall. I remember asking about it at the time and was told that one of the considerations in the score we received back took into account any bad debt or slow pays because those could conceivably be indicators of an employee's inclination to steal and "inventory shrinkage" is a big deal to a retailer. I'm sure the same logic applies in many other businesses.