Tenant background check reports: Put it in writing

by Amanda Koulousias - Federal Trade Commission

As a landlord – or property manager or other housing provider – you may run background checks on prospective tenants. These reports can include rental and eviction history, credit history, criminal records, and more. Background checks from consumer reporting agencies are consumer reports and under the law you have certain responsibilities when it comes to using them. For instance, you can get a consumer report only if you have a permissible purpose – and you may not use the consumer report for another reason.

Read more: https://www.ftc.gov/business-guidance/blog/2023/07/tenant-background-check-reports-put-it-writing

UPDATE FOR EMPLOYERS REGARDING CHANGES TO BACKGROUND CHECK SUMMARY OF RIGHTS FORM COMING SOON

by Marjorie C. Soto Garcia, Cristell Fortune - MWE

The Consumer Financial Protection Bureau (CFPB) recently released an updated version of the “A Summary of Your Rights Under the Fair Credit Reporting Act” notice to job applicants and employees required in connection with conducting employment background checks (also known as the Summary of Consumer Rights). Starting on March 20, 2024, employers and consumer reporting agencies (third-party background check vendors) will need to provide the newly revised Summary of Consumer Rights to applicants and employees in connection with background checks to comply with the federal Fair Credit Reporting Act. This article analyzes the updates to the Summary of Consumer Rights and provides recommended next steps employers and consumer reporting agencies should take to be in compliance with the law.

Read more: https://www.mwe.com/insights/update-for-employers-regarding-changes-to-background-check-summary-of-rights-form-coming-soon/

The Fair Credit Reporting Act and Background Checks—Common Employer Questions & Tips

by Colleen Anderson Hartley - JD Supra

When an employer is considering a job applicant, it likely wants to investigate the person’s work history, education, criminal record, financial history, medical information, among others. This type of background check is known as a consumer report and is regulated by the Federal Trade Commission (FTC) through the Fair Credit Reporting Act (FCRA).

Read more: https://www.jdsupra.com/legalnews/the-fair-credit-reporting-act-and-9390280/

Another New York Locality Bans the Box

by Pamela Q. Devata, Jennifer L. Mora, Stacey L. Blecher - Seyfarth

Seyfarth Synopsis: On April 27, 2020, the Suffolk County Legislature filed with the Secretary of State an amendment to the county’s Human Rights Code to include a new “Fair Employment Screening” section. As a result, effective August 25, 2020, Suffolk County, New York employers with 15 or more employees will be restricted in their ability to make pre-employment inquiries about an applicant’s criminal history. Because other New York cities and counties have enacted similar laws, such as in New York City, Buffalo, Rochester, and Westchester County, employers operating in the Empire State should consider reviewing their hiring practices to ensure compliance in all jurisdictions.

Read more: https://www.seyfarth.com/news-insights/another-new-york-locality-bans-the-box.html

RECAP: Changes to the Fair Credit Reporting Act in the Wake of the Unprecedented COVID-19 Pandemic

by Nadia Adams - National Law Review

With over 22 million Americans currently out of work, the COVID-19 pandemic has proven to be both a global health crisis and a period of economic instability. Over the past few weeks, a number of new regulations have been enacted to ease the financial strain so many Americans are feeling.  Here, we focus specifically on the new credit reporting landscape and what credit reporting agencies and data furnishers should know.

Read more: https://www.natlawreview.com/article/recap-changes-to-fair-credit-reporting-act-wake-unprecedented-covid-19-pandemic

CARES Act Amends the Fair Credit Reporting Act for Accommodations Extended to Consumers During COVID-19

by Lynne E. Evans - Duane Morris Banking and Finance Law

Right now, many creditors may be considering making accommodations to consumers affected by COVID-19 by offering different ways to help ease the burden of existing debt obligations. In doing so, creditors should take care to follow the special credit reporting rules for such accommodations set forth in the recently passed Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”).

Read more: https://blogs.duanemorris.com/bankinglaw/2020/04/03/cares-act-amends-the-fair-credit-reporting-act-for-accommodations-extended-to-consumers-during-covid-19/#page=1