What is a Consumer Report and a Consumer Reporting Agency?
The FCRA requirements apply whenever an employer requests a “consumer report” or “investigative consumer report” from a consumer reporting agency. A “consumer report” includes any written, oral, or other communication of any information by a consumer reporting agency regarding a consumer’s credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living which is used as a factor to establish the consumer’s eligibility for employment. For purposes of the discussion below, references made to consumer reports include employment reports. A “consumer reporting agency” is any person or company who, for financial gain, regularly engages in the business of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer reports to third parties. Written Disclosure and Authorization Required The FCRA requires any employer intending to obtain a consumer report to first make
