FCRA Checklist Every Hiring Manager Should Print

• Confirm you have a lawful, job-related permissible purpose for the report (employment decisions).
• Use a written background screening policy that defines which checks are job-relevant, how often screens are refreshed, and who in the organization may order reports.

• Provide a clear, standalone written disclosure that a consumer report may be obtained for employment purposes. It must not be buried in an application or other paperwork.
• Obtain a signed authorization (or electronic equivalent) from the applicant or employee authorizing the report. Keep both the disclosure and authorization.

• Verify the candidate’s identity to reduce mismatches (full name, DOB, SSN when legally permissible).
• Screen only for information relevant to the position (e.g., driving history for drivers, credit reports only when job-related).

• Check for accuracy, multiple records, and sealed/expunged records. Reconcile any name or DOB mismatches before drawing conclusions.
• Assess job relevance and the record’s recency; document your job-related rationale.

• A copy of the consumer report used
• A copy of the Summary of Consumer Rights under the FCRA
• A clear statement that you may take adverse action based on information in the report

Allow a reasonable period for the candidate to review and dispute inaccuracies (industry best practice: at least five business days).

• The name, address, and phone number of the CRA that provided the report
• A statement that the CRA did not make the adverse decision and cannot provide specific reasons
• Notice of the candidate’s right to obtain a free copy of the report from the CRA and to dispute its accuracy

Keep documentation of the pre-adverse package, the candidate’s response (if any), and the adverse action notice.

• Keep copies of disclosures, authorizations, reports, pre-adverse and adverse notices, and your decision rationale.
• Follow retention requirements set by applicable federal, state, and local law and maintain records long enough to respond to disputes or regulatory inquiries.

• Train recruiters and managers on the separate-disclosure rule, pre-adverse/adverse timing, and how to evaluate criminal records consistent with EEOC guidance.
• Audit your process and vendor certification periodically to ensure compliance.

• Burying the disclosure in an application or job posting rather than providing a standalone disclosure.
• Failing to obtain a signed authorization before pulling the report.
• Skipping the pre-adverse action step and sending only a final rejection letter.
• Using a consumer report for a purpose other than employment without proper certification.
• Relying on old or irrelevant criminal records without individualized, job-related assessment (classic disparate-impact risk).
• Ignoring state and local restrictions (Ban-the-Box laws, limits on credit checks, or youth record sealing rules).

• Standardize screening decisions. Use consistent job-related criteria and document the rationale for adverse decisions to defend against discrimination claims.
• Use templates for disclosures, pre-adverse packets, and adverse action notices to avoid omissions.
• Allow at least five business days between pre-adverse packet delivery and final decision when possible; this minimizes disputes and demonstrates good faith.
• When a candidate disputes, promptly refer the dispute to the CRA and document the investigation outcome before making a final adverse decision.
• If you need credit reports, obtain a clear job-related justification in writing and check state rules; some jurisdictions heavily restrict credit checks.
• Consider delaying criminal background checks until later stages if local ban-the-box rules apply or if you want to reduce early stage bias.

• Implement a written, job-related screening policy and train hiring teams on FCRA steps.
• Always provide a standalone disclosure and get a written authorization before ordering any consumer report.
• Use pre-adverse action to give candidates a chance to dispute inaccurate information — it’s both a legal requirement and a best practice that reduces litigation risk.
• Keep auditable records of every report, notice, and hiring decision; documentation is your strongest defense.
• Coordinate with your screening vendor to ensure their processes and certifications align with your compliance needs and local laws.