Background checks are governed by the Fair Credit Reporting Act (FCRA). Employers are entitled to obtain background information from a consumer reporting agency (CRA) about individuals for the purpose of evaluating them for employment, promotion, reassignment, or retention. The types of information that can be gathered for a background check include credit reports, criminal records, driving records, and employment verification. FCRA requires employers to provide a separate notice to job applicants stating that a consumer report may be obtained. Prior to ordering the background check, written authorization from the applicant must be received. The employer must also certify to the CRA that notice was provided and authorization obtained. If the background check results in any action adverse to the consumer -- such as a job applicant not being hired or was fired -- the employer must provide the consumer with a copy of the background check and a summary of the consumer's rights under FCRA before the adverse action is implemented. The employer must then give the consumer a reasonable amount of time -- usually 5 days -- to challenge the contents of the report. Get the Specifics on Background Checks HR.BLR.com is the most complete source for practical human resources advice and plain-English compliance analysis available anywhere. No matter what the HR topic - from termination to background checks - you’ll find hands-on help you can count on. As the laws in different states on Human Resources get more difficult and complex, keeping current can spell the difference between success and disaster for your business. The HR.BLR.com editorial staff monitors a host of private and government sources to keep you up-to-date on all the important human resource developments. The HR Library has more helpful background resources like these: Background Check Regulations by State Sample Policies on Background Checks Privacy vs. Your Need to Know