do empolyers have a right to check your credit history?

Answer 1

Only if you agree.

Most applications for employment have a clause that allows the potential employer to check your credit now a days.

The reason for this is that credit reports are like report cards when we were in school only instead of showing if we are doing good/bad in our studies they show if we are doing good/bad in managing our debt.

This is taken into consideration when employers are filling positions that require handling money or have financial responsibility.

Answer 2

Unfortunately for your generation, information is a double-edged sword. Back when the social security numbers were being employed, government promised they would not use this as a means of tracking people or for identity purposes. Now, your social security number is used on everything.

Your employer can ask for your credit information. They do this, because people who have a lot of debt or who have had bad credit history are an internal security risk. It would not be the sole reason for your evaluation, merely an element for review. Don't worry too much however, we are fixing to have an employee shortage in the U.S.

The moral of the story is, keep your spending under control keep your credit clean. I know this is easier said than done.

Answer 3

They only have the "right" if you give it to them by signing a release. This is very common these days depending on the type of job. If you are applying at Walmart or something probably not. If you want to be a police officer you must have good credit. I work in banking and you need good credit to get a job at my company. I tried to hire my assistant from the last lender I worked at and they turned her down. Straight lace Mormon girl from Utah. Turned her down for bad credit (her last boyfriend messed it up) and a bad driving record.

Answer 4

When you fill out the job application, there's a release allowing potential employers to do background and credit checks. Many employers review credit reports as an indication of your management and financial skills.

Answer 5

Yes. In fact, anyone can check your credit history via agencies that do this for a small fee. Employers can choose not to hire you based on this because if you are seeking a job where a lot of responsibility with money is involved, if you're up to your ears in debt or it shows that you don't pay your bills, then you probably aren't the most reliable person to trust with a company's finances. In fact, even if you fill all the qualifications for a position, employers can choose not to hire you for ANY REASON as long as it isn't discriminatory based upon race, gender, handicap, etc. Usually if the position doesn't involve finances or handling money, they don't check your credit history.

Your credit history can mess things up if you want to move or buy a house or car if it's bad, but it isn't uncommon for college kids to have mounds of student loans and credit card debt, so maybe if that's your situation, you can work something out with your creditors. Don't go through credit card consolidators or debt collection agencies. Go through your actual creditor. Your creditor will work with you because they want to get their money. Try to pay over the minimum payment every month, even if it's only by five dollars. It may take years, but you can get out of credit card debt. If it gets to the point where you're buying groceries with a credit card or paying one credit card with another, then you know you have to pull in the reigns and work out a plan with your creditors. I wouldn't suggest something as drastic as getting another job or dropping out of school, but work with the budget you have with your creditors. Trust me, they just want their money. Ask them to lower your minimum payment, ask them to lower your interest rate. They probably will.

As for the job, if there is a reason why your credit is bad, as in you or your child or spouse got gravely sick or something like that, then explain it. My credit was shot and I had no trouble finding a job. Just be honest. Maybe you shouldn't be trusted with the finances of a company, anyway.

Answer 6

Employers have a right to check your credit history and if you have bad credit it can cause you not to be hired for the job.

Answer 7

Yes. If you have had credit/payment problems or are heavily in debt, employers want to know that up front, and yes, it's legal.

Answer 8

If you give them permission they can...usually by signing the application for employment you are giving them permission (it is in the fine print) or some actually tell you that they are going to run it.

Answer 9

yes if they think you could be a possible risk if there is money or opportunity to steal in the job they need to know if you are responcible with your money.

Answer 10

Yes.