Proposed Amendments to Fair Credit Reporting Act
Two new bills affecting credit reporting and the use of credit reports for employment purposes are working their way through Congress. If passed, the bills would amend the Fair Credit Reporting Act (FCRA). The first, The Credit Access and Inclusion Act of 2015, H.R. 4172, would allow for increased reporting of customer payment information by companies in the Telecommunications and utility industries, with an eye toward helping low-income consumers establish positive credit. The second, the Equal Employment for All Act of 2015, H.R. 3524, would prohibit most employers from using credit reports as a factor in evaluating consumers for employment. It is important for employers to be aware of the many requirements imposed on them by the FCRA and state laws with respect to using background checks for employment purposes.