Consumers with a bad credit history may be dismayed to learn that many states legally allow prospective employers to check job applicants’ credit history.
There are certain laws in place to protect the rights of individuals with bad credit, however. In those states in which it is legal for employers to check candidates’ credit histories, they must acquire the written signature of the applicant to do so. Furthermore, a prospective employer discovering that an applicant has a bad credit history by no means disqualifies him or her from the job.
According to a poll by the Society for Human Resource Management, only 13 percent of employers report conducting credit checks on all job applicants. Furthermore, only 9 percent claim that one of the most important qualities they look for in a potential employee is good credit. A full 87 percent of human resource managers said that a negative item on a credit report would not necessarily bar a candidate from employment, and that they would give the candidate a chance to explain the item.