If you are an employer using credit reports for background checks or hiring services from third party agencies that use these procedures, you should make sure that the federal credit report act is being complied fully as otherwise you may face serious legal consequences that may cost you a lot of money on the long run.

Many new concerns have appeared after the sad events of our recent history. Security has become a serious matter and thus most employers want to cover themselves from future difficulties. However, the thin line that separates security from privacy should not be crossed or else, the employer can be liable for violating the mentioned act.

The numbers are amazing, 80% of companies human resource management confess that they run criminal background checks on their candidates due to the security concerns, 10 years ago, that number was only around 50%. Thus, it is not crazy to think that credit checks have risen similarly or even more.