Adding a CREDIT REPORT INQUIRY to your BACKGROUND INVESTIGATIONS will provide you with valuable information
about your applicant that you would not receive with any other inquiry. The information contained in a credit report
includes identifying information (applicant’s name, Social Security Number and current and former addresses), credit
history (amount of debt an applicant has and how they manage that debt), other interested parties (those who have
previously inquired into the applicant’s credit history) and public records (court judgments, liens and bankruptcies which
apply to the applicant).
There are a number of reasons for obtaining an applicant’s CREDIT REPORT, including determining if they are
responsible and reliable by knowing how well they handle their personal finances, as well as comparing their monthly
debt payment against proposed salary. Before requesting a CREDIT REPORT on a prospective employee, employers
should ensure that it applies specifically to their job functions and that there are policies and procedures in place to
ensure that the report is used in a relevant and fair manner. In addition to policies and procedures, employers should
make sure job descriptions state duties related to accessing cash, assets, a company credit card or confidential
information. Of course, there are some industries where it may be appropriate to conduct a CREDIT REPORT on all
prospective employees (e.g. the financial services industry).
To see a sample report, please go to the CREDIT REPORT section of Due Diligence's complete CI BACKGROUND
INVESTIGATIONS report which is accessible at www.commercialinvestigationsllc.com/Duesreport.pdf. Do your due
diligence by making CI your first choice for a second impression.
DATE: September 2004 - Are Credit Reports Right For You?