Regarding Hiring, Should Companies be able to Check your Credit?

The Giant Noodle said:

Regarding Hiring, Should Companies be able to Check your Credit? Is it THEIR business?
Even IF bad credit does statistically say you are more likely to steal, should a company know what your personal finances are?

Why?
Why NOT?

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I say no. There are *some jobs* in which it's necessary: when you're putting someone in direction control *of* your books and budget and they are money-managing. Money managing skills are either there - or not there.

BUT - that is not the same as "all jobs that handle money" - cashiers, wait staff - the number of people having jobs that touch-money is quite high. . . but does that matter? The number of people who have jobs that determine *what to do with it* is considerably smaller.

So - "no" in general unless "money management" is your job.

:shrug:

This is something that probably has kept me from a job or two, specifically applying as customer service at Citigroup. I admit, I made quite a few mistakes that has given me a bad credit score, but this is just another ridiculous excuse for companies to hire overseas, and I know quite a few friends personally that got the same job and one actually screwed it up horribly.

Depends on the situation. I'm a financial professional and every time I contract with a new company my credit is a major deal, it was shown that insurance agents who are going through bankruptcy tend to have ethics issues that affect both clients and companies so it isn't a red flag per se, but it leads to more questions before finalizing a contract. So I do agree that any financial professionals should expect to be credit checked, not so much for other professions.

LaMidRighter said:

Depends on the situation. I'm a financial professional and every time I contract with a new company my credit is a major deal, it was shown that insurance agents who are going through bankruptcy tend to have ethics issues that affect both clients and companies so it isn't a red flag per se, but it leads to more questions before finalizing a contract. So I do agree that any financial professionals should expect to be credit checked, not so much for other professions.

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Alright but the job Im talking about you get paid $11/hr and you are calling for collections. Is it really necassary? I think if higher ups in financial insitutions want to find a way to screw the system they will, credit checks or no, and it obviously happens o' plenty.

JohnWOlin said:

Alright but the job Im talking about you get paid $11/hr and you are calling for collections. Is it really necassary? I think if higher ups in financial insitutions want to find a way to screw the system they will, credit checks or no, and it obviously happens o' plenty.

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I don't think that particular job would really require a credit check on it's face. Maybe for the simple reason that they may have access to certain account info, but that would be about the extent of justification.

I strongly feel that a company has ZERO right to access anything in my person history. In fact I dont even know if access to criminal history is reasonable. If the person isnt in jail and can perform the job.... which means the government feels he is free to go, then he should also be able to get a job if he has served out his punishment already.
Companies have FAR to much power over individual lives. Now some companies are saying they wont hire you if youre FAT. Or they wont pay you as much because of the insurance premiums! **** them!

The Giant Noodle said:

I strongly feel that a company has ZERO right to access anything in my person history. In fact I dont even know if access to criminal history is reasonable. If the person isnt in jail and can perform the job.... which means the government feels he is free to go, then he should also be able to get a job if he has served out his punishment already.
Companies have FAR to much power over individual lives. Now some companies are saying they wont hire you if youre FAT. Or they wont pay you as much because of the insurance premiums! **** them!

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Do you want people working around children who have criminal records for child abuse or sexual offenses?

The Giant Noodle said:

I strongly feel that a company has ZERO right to access anything in my person history. In fact I dont even know if access to criminal history is reasonable. If the person isnt in jail and can perform the job.... which means the government feels he is free to go, then he should also be able to get a job if he has served out his punishment already.
Companies have FAR to much power over individual lives. Now some companies are saying they wont hire you if youre FAT. Or they wont pay you as much because of the insurance premiums! **** them!

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Oh, Noodle, you picked the wrong argument here. In our litigeous society, companies have to be exceedingly careful who they hire. A background check for criminal records is an absolute must in soooooo many jobs. In addition to 1069's example, how about bus drivers who've been convicted of drunk driving? I could list plenty of positions where one's criminal convictions would open a company to massive liability.

Having said that, I honestly feel for people who've done their time. The way things are set up, they have a really hard time integrating back into society. Employers just don't want to take a chance on them. I wish it were different.

TurtleDude said:

It depends. If you are applying to be a construction worker or a table busser probably not. If you are applying to be a federal prosecutor, a bank controller, an FBI special agent, or an accountant probably so.

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I disagree and I'll tell you a short story from my past that will explain why:

I applied to work at three different distributerships as a route driver, where I would be up to a thousand dollars in cash everyday. At the time, my credit was completely in the crapper. I was turned down for all three jobs. I was purdy offended because I wasn't hired and after some persistance, they finally told me that it was because of my bad credit.

The moral of the story is, I'm not a thief. If I were a thief, it wouldn't have anything to do with my credit score.

1069 said:

Do you want people working around children who have criminal records for child abuse or sexual offenses?

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It's not a crime to have bad credit, or be in debt.

I say NO, it no one's business what a individual fiances are, if one is hired and then commits theft then we have laws for this.

Dittohead not! said:

I once had a deadbeat tenant who didn't pay rent. In the end, I went to his employer to attach his wages, this after having taken the **** to court. He paid up when the employer told him he'd be fired if his wages were attached. Employers like responsible employees for some reason or other.

I didn't want him to be fired, of course. I'd never had gotten my money if he had been.

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I don't know what state this was in, but I could definately see a case for wrongful termination in some states...

My current job checked my credit and I had no problem with it. Why did they check it because I handle at least $2,000 to $5,000 of cash a day and I also handle credit. If I have a problem with it, then I can go find a different job, its the same mentality behind the drug test.

I agree with Noodle that companies have too much power over our lives already. And the credit bureaus (all of them defined as credit reporting agencies under FCRA, not just the Big Three that keep track of whether you pay your bills but the dozens of others providing everything from private health information to full background investigations to your amassed public records) are companies. They are companies who exist for one purpose, to serve other companies. Primarily lenders and insurers, who have the greatest influence on the rules these agencies have to follow and are their main clients. They are not user friendly for consumers nor in most cases designed or scored with employers' interests, abilities or concerns in mind. Ever try to get an error on your financial credit corrected? :lol:

Now how about errors on the ones you don't know about? Like this agency, until recently used by many employers that collects and files away everything from your driving history to history of insurance claims to DNA testing: EPIC - Choicepoint

Ask questions, don't just assume a prosepective employer will pull your FICO from Equifax and be done with it. And don't assume your current employer who checked your credit isn't also reporting your every smoke break, on the job injury, sick day, claim made on your health plan, results of any employer-required and paid medical test and more to a "commercial database" (Read: FCRA defined credit bureau) like Choicepoint (itself now defunct due to lawsuits, privacy violations and other problems - see link above) for your next potential employer to read in minute detail.

Choicepoint was purchased in 2008 by the company that owns and operates LexisNexis - it is now known as LexisNexis Risk Solutions. Their most touted employment screening package? A behavioral prediction online quiz that takes 5-8 minutes to complete and delivers nothing but a single score, and a complete background check using the company's database in addition to public records.

Press Releases - LexisNexis Risk Solutions
Candidate Eligibility Factors - LexisNexis

Scary stuff. And this is also a credit report under the definition of FCRA.

Yes
This should be done openly and honesty. An employee is a company representative, one with poor credit can be a problem. If they get things straightened out, then their record should reflect this.

I think it has already been said, but it depends on the kind of job being applied for. If it relates to the financial sector then I could understand credit checks, but to my knowledge credit checks don't require your consent anyway. Companies could be doing it without you knowing, since your credit is tied to your social insurance number if I recall correctly.

I was waiting for someone to say, "They're private companies, they can do what they want and you don't have to work for them." I'm a firm believer in labour and employee rights, so I disagree with letting businesses do what they want. If a business is demonstrating up front that they treat every employee with suspicion, that does not create an environment of trust and I will not want to work with them. But what if I'm desperate for work? Should I have to suffer an invasion of privacy every time I just want to make some income?

In Canada, it is not universally okay for corporations to do urine testing or credit checks. Only specific companies are granted that right by government and it relates to the kind of work they offer. Criminal record checks, to my knowledge, are the only substantial thing that the average company could ask you for, and I see no problem with that.

earthworm said:

Yes
This should be done openly and honesty. An employee is a company representative, one with poor credit can be a problem. If they get things straightened out, then their record should reflect this.

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How in the HELL could ones personal bad credit be a problem for a company? :roll:
It seems the other end of your body is talking.

Employers should be able to hire/not hire whomever they want, for whatever reason. So of course they should be allowed to, as long as the prospective employee consents to it.

The Giant Noodle said:

Regarding Hiring, Should Companies be able to Check your Credit? Is it THEIR business?
Even IF bad credit does statistically say you are more likely to steal, should a company know what your personal finances are?

Why?
Why NOT?

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I think that if managers can check the credit rating of their employees, then those employees should be able to check the annual income of their managers.

samsmart said:

I think that if managers can check the credit rating of their employees, then those employees should be able to check the annual income of their managers.

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Turnabout is fair play. The job applicant doesn't want to work for a company that isn't solvent, after all.

jamesrage said:

I voted "NO! My finances should NOT dictate what company hires me!". They are not loaning me money so its none of their damn business what my credit score is. Whether or not I owe money to someone is none of the employer's business. Companies should be banned from accessing records like that for the purposes of hiring.

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Does that include immigration status.

samsmart said:

I think that if managers can check the credit rating of their employees, then those employees should be able to check the annual income of their managers.

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The manager's money is irrelevant. They aren't who you are working for. The company's financial status IS relevant, and if it's a publically traded company, then you'd have access to that information.

rivrrat said:

The manager's money is irrelevant. They aren't who you are working for. The company's financial status IS relevant, and if it's a publically traded company, then you'd have access to that information.

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If it's not, if it is a small business, then its profitabliity most certainly is relevant.

Dittohead not! said:

If it's not, if it is a small business, then its profitabliity most certainly is relevant.

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And it would not be unheard of to ask for a financial report from a prospective employer. I do research on my prospective employers, including their growth and financial status.