Why are so many companies asking for a credit check before an interview even when applying for jobs?
I don’t understand why so many companies are demanding a credit check before the hiring process can even begin. I find this a major invasion of my privacy, don’t understand what it has to do with getting a job and not to mention the fact they say they are free, but they are not and they keep dinging my credit card.
I’m not sure why or how that got started but I, too, think it is none of their business. And it has nothing to do with my ability to do a job.
Because employers want responsible people with good habits to work for them. People who have bad credit ratings prove they aren’t able to handle their own personal lives so they probably won’t be able to handle a job as well as people with more responsible personal habits.
First off employment credit checks do not effect your credit. At least they don’t if they are coded correctly.
And the reason they do them is that employers have found that there is a direct correlation between someone with good credit and someone that will be a good employer.
An employment credit check shouldn’t affect your credit history. they need to be coded as a pre-employment check. Depending on what industries and jobs you are applying for, they are sometimes mandatory. This is especially true in banking, finance and mortgage industries.
Also, a credit check, like a background or education verification is typically done after a conditional offer of employment is made to you, and you have accepted it. So if they are running this before you have that conversation with them I would question them. Additionally, if you are paying for the credit check, you shouldn’t. The company should acquire that check and absorb the cost, if any, themselves.
Nobody’s requiring you to be dinging your credit card.
A few inquiries aren’t going to affect your score in any meaningful way. Any legit employer runs their own credit check. Sounds like you’re being scammed.
Real employers do it to weed out people with poor credit…who are statistically more likely to have personal issues that distract them from work and are more likely to steal.