• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Did the Fair Credit Reporting Act just change?

by on
in Hiring,Human Resources

Q. What were the recent changes to the Fair Credit Reporting Act?

A. The Fair Credit Reporting Act (FCRA) changed in form, but not in substance. The FCRA regulates employers that use background checks when the information is provided by third parties.

Since the FCRA’s enactment in 1970, the Federal Trade Commission had overseen its interpretation. Fol­­lowing passage of the Dodd-Frank Wall Street Reform and Consumer Financial Protection Act in 2010, the authority to create FCRA regulations shifted to a newly created Consumer Financial Protection Bureau (CFPB).

Recently the CFPB issued new regulations that, among other things, modified the form employers must use to notify employees and applicants of their FCRA rights. This notification must be provided to applicants and employees as part of a notification that an employer may take an adverse action based on a background check.

A copy of the new “A Summary of Your Rights Under the Fair Credit Reporting Act” form, which ­employers must begin using on or before Jan. 1, 2013, can be found on the CFPB’s website. Agencies that perform background checks must also provide new forms to both providers and users of their information:

Like what you've read? ...Republish it and share great business tips!

Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...

We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.

The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.

" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/33862/did-the-fair-credit-reporting-act-just-change "

Leave a Comment