Credit Background Check for Employment and Tenant Screening

Almost all employers perform some kind of employment background checks. These background checks commonly include verification of identity claims, work experience, educational qualifications and credentials’ verification. Businesses that come under regulated industries may need to perform more detailed employee background checks including criminal background screening. Some employers can be interested in credit background checks as well to fill specific positions.

Running credit background check is common in banks, brokerages, financial institutions, etc., before hiring candidates. It is done to make sure that a bad credit history of someone may not entice his/her to take undue advantage of his/her position in financial / banking industry. Running credit background check makes perfect sense in banking and financial services industry, as people with bad credit history are more likely to take advantage of money at their disposal.

A survey conducted by NAPBS found that as much as 16% employers ran credit background check on applicants. Credit background check for employment can be conducted via a third party service provider. The credit background check report includes all instances of debt such as student loan, car loan, credit card debt, mortgage and other loans as well as the repayments made against them. It also includes defaults, late payments, etc. if any.

Credit background check enables employers to learn how efficiently an individual has been able to manage his/her debt. Credit background check is also conducted by financial institutions before sanctioning loans. It can also be used for tenant application screening by conducting credit background check for tenants.

Application of credit background check is not limited to employment or loans. People leasing or renting out their property can also make use of credit background check for tenants. By running credit background check for tenants, landlords / property owners can make better decisions before renting out the property. An individual with bad credit background is more likely to default on payments than the one with good credit history.

A simple online tenant background search can save property owners from many undesired consequences. Tenant background search not only allows you to review the credit history of a prospective tenant but it also allows you to verify identity related claims at the same time.

Organizations that provide credit background check for tenants, offer their service in packages and you can choose a package what suits you the best. A basic tenant background search generally includes a credit report, sex offender search and criminal records. A more detailed search may further include more items such as employment summary, foreclosures, bankruptcies, medical collections, etc.

Credit background check for tenants allows property owners to know how good an individual has been with his/her rental payments. Tenant application screening credit report also let them understand the risks involved in renting out their property to a particular renter, such as late payments, evictions, etc.