August 30, DALLAS (Calcutta Tube): Many of the job seekers believe that high credit score helps to get a job while a poor credit score could lead to lay offs. But this is a myth. In reality, credit score has nothing to do with your job situation. It is however always good to know and monitor your credit score for lots of reasons including financial benefits. If you are interested you can get the 5-Day Free Credit Score online.
When an employer asks a credit bureau for information about job prospects, they are not given credit scores. They are given payment history and other credit facts.
Under FTC regulations, current and potential employers must obtain permission before pulling a credit report and provide a copy of the report to applicants who aren’t hired.
Employment inquiries are not treated as credit inquiries and don’t have an adverse effect on credit.
Background checks can be extensive and include everything from medical history to workman’s compensation claims. Background researchers can even interview a job applicant’s neighbors to determine their character.
In some cases, employers conduct background checks because they’re required. For instance, most states require criminal background checks for anyone who works with children, the elderly or the disabled. Federal law requires background checks for certain federal positions that require security clearances.
In other cases, the employer needs assurance that the person being hired can be trusted with money or is likely to be a stable employee. Others want to avoid the kind of employee who is habitually “hurt on the job” – filing claims for disability compensation.
Note that employees who are denied employment or fired due to background checks do have a right to see the reports that resulted in adverse action. However, employers sometimes avoid this requirement by claiming different reasons for not hiring someone. They can merely say that someone else had better qualifications.
This disclosure is required under the federal Fair Credit Reporting Act, which sets national standards for employment screening. However, the only background checks covered under the FCRA are those for which an employer has paid a third party.
Now that information is readily available on the Internet, some employers conduct their own informal research, and they aren’t required to get your permission.
Web sites such as Facebook and MySpace are of interest to employers. A survey done in 2007 revealed that 44% of employers checked social sites prior to hiring and 39% used them to check up on current employees.
Read more about employers and credit scores at:
CreditScoreQuick.com was founded in 2007 as a subsidiary of Clover Mortgage Group, LLC. Visit the company online at http://www.creditscorequick.com/.
CONTACT: Mike Clover of CreditScoreQuick.com, +1-469-621-8484
Web Site: http://www.creditscorequick.com/