FCRA expanded as the Fair Credit Reporting Act is a law enacted to enhance accuracy, fairness and privacy of the consumer’s information which is stored in the consumer’s reporting agency. As an employer you should be aware and act in accordance with this law at all times.


The main purpose of the creation of FCRA is to avoid wrong or inaccurate information of the consumers in their credit reports.



The FCRA regulations are applicable to :


  • Consumer reporting agencies

  • Users of consumer reports

  • Furnishers of consumer information



There are a set of predefined rules for Employers on how to use consumer information/reports for screening job applicants or employees in their company :


  1. Getting prior information in writing & oral consent from the candidate.

  2. Informing the candidate on how you'll  use their information

  3. No inappropriate use of candidate's  information

  4. Giving the candidate a copy of the consumer report if they're not hired for the job

  5. An opportunity given to the candidate to question the irregularities in the report

  6. Should be in complete compliance with State and Federal equal employment opportunity law


SpringVerify allows you to start a Pre-Adverse Event notice to your candidate.To do this you can click the red button at the top of your report and acknowledge your candidate that they do not meet up with the standards of the consumer report.


After your acknowledgement we send a copy of the report and a description of the rights involved to you and your candidate.


In accordance with the FCRA law, you should grant the liberty to your candidate to review the information and respond to any questions they might have. SpringVerify has adopted the FTC’s suggestion of “meaningful opportunity” and has set the review and dispute communication follow up of the candidate to be five business days.


If the candidate responds back with certain irregularities in the consumer report, SpringVerify will review the information and communicate the developments made on the report to you and your candidate within 15 days.If the candidate fails to respond within five business days, an Adverse event letter will be sent and the report will be archived.


SpringVerify makes sure you’re covered in all 360 degrees. All information, reports and disclosures will be recorded in an electronic format. Communication of all information is made sure to be shared to you and your candidate.