Lauren Smith, WalletHub Staff Writer
@laurenellesmith
When employers check your credit, they look for late payments, derogatory marks, and maxed out credit limits, which could signal the potential for fraud or theft. If you’re in financial duress, employers may consider you unstable or untrustworthy. An employer is most likely to check a prospective employee’s credit if the job requires a security clearance, handling money or access to confidential data.
What Employers Look for in a Credit Check
- Payment history
- Outstanding balances
- Credit limits
- Existing accounts
- Credit inquiries
The credit reports available to employers are modified. They do not include personal information that could violate equal employee regulations like your birth year or marital status. They also do not include your credit score.
If an employer plans to check your credit and may reject you because of the contents of your credit report, the company must inform you beforehand and wait a reasonable period (usually 3-5 business days) for you to respond. This grace period allows you to explain any issues ahead of the credit check.
You can check your credit report for free here at WalletHub and also learn more about how to improve your credit.
People also ask
What does an employer credit check show?
Employer credit checks show your payment history, outstanding balances, credit limits, existing accounts, and credit inquiries. Employers can view modified versions of your credit report, which do not include personal information that could violate equal employee regulations, like your birth year or marital status. Employer credit checks also do not have your credit score listed.
What Does an Employer Credit Check Show?
- Payment History – The record of on-time or late payments for...
Can you get a job with bad credit?
Yes, you can get a job with bad credit by being honest about it, preparing a plan, avoiding positions with credit checks, and emphasizing your qualifications. While employers may interpret bad credit as a sign of irresponsibility, your job-specific qualifications are ultimately the biggest determining factor in your ability to secure employment. With that in mind, we’ve compiled some tips for getting a job with bad credit, which you can check out below.
How...
read full answer by WalletHub, Financial CompanyDid we answer your question?
Important Disclosures
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers. For full transparency, here is a list of our current advertisers.
Advertising impacts how and where offers appear on this site (including, for example, the order in which they appear and their prevalence). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.
Advertising enables WalletHub to provide you proprietary tools, services, and content at no charge. Advertising does not impact WalletHub's editorial content including our best picks, reviews, ratings and opinions. Those are completely independent and not provided, commissioned, or endorsed by any company, as our editors follow a strict editorial policy.