What gives employers the right to make decisions based on your credit report?
When you apply for a job, employers do a background check. I have no problem with that. BUT, what gives them the right to check your credit reports, ratings etc.
THAT is an invasion of privacy. This practice needs to be addressed by the lazy ass politicians. Just because you have bad credit, it does NOT mean you are a risk.
You have to give them permission to pull your credit. A lot of companies do not care. but some do – like a finance company for instance.
If you are applying for a job that gives you access to valuable property or classified material they wouldn’t want someone with marginal finances because of the temptation to sell company stuff in order to make yourself solvent.
Well my friend, lets think about it. Some people that have bad credit, owe lots of money and have not been paying their bills – correct? A employer has two worries 1) will you try and pay your bills by stealing money or merchandise from me? and 2) if you don’t care about your own credit – what type of employee will you be?
After all, your credit really effects what you can do in life, and if you are not willing to control it – perhaps your too big a risk.
Now, i’m not saying this is you, just trying to help you understand why. I hope it makes sense.
They can make hiring decisions on any basis they want to as long as it’s not something legally prohibited like race or gender, or age over 40 – and it can be VERY hard to prove that’s why you weren’t hired.
Most places, to check your credit report they have to have your permission. But if they ask and you say no, it’s perfectly legal for them to drop you from consideration.
Many companies figure that if you can’t handle your finances responsibly, you aren’t a good bet to be responsible in other areas.