What does a background check show for pre-employment screening??
2019
Every hire offers a new opportunity for productivity, but every person added to your team also presents a business risk. Performing background checks during pre-employment screening can help confirm your hiring decision and keep your business profitable and productive.
What does a background check show for employment?
What shows up on a background check depends on what which type of search you order, since there are several different sets of records and data to pull from. Generally speaking, a background check for employment may show identity verification, employment verification, credit history, driver’s history, criminal records, education confirmation, and more.
Employers gather a wealth of information in order to evaluate a candidate’s character and help protect against the wrong hire. Read on to learn the various types of background checks for employment, what they may show, and why they matter.
What does a background check consist of?
Although there are many different types of background checks, employers are usually concerned with the top three searches. The most common pre-employment searches include:
1. Identity and Social Security Verification
• By searching extensive databases such as the Department of Homeland Security and Social Security Administration records, a background check for employment can show whether or not a Social Security number is valid, who it belongs to, and if it’s been used in the past.
Identification verification may also be used to verify an address, which can be cross-referenced to the information provided by a job applicant to detect inaccuracies.
2. Credit Report
• Credit reports are prepared by credit bureaus who collect information from a variety of sources. For example, credit card companies and financial institutions furnish data to credit bureaus, who in turn maintain records on consumers.
Although credit reporting agencies do not necessarily have identical information, the general categories of information that show on a background check include:
• Identifying Information
• Credit bureaus can provide identifying information such as name, date of birth, and address.
• Credit Inquiries
• Credit reports contain a list of past credit inquiries, identifying retailers, financial institutions, and other lenders have requested a consumer’s credit report..
◦ Tradelines
◦ Tradelines show accounts established with lenders. It could include of the date the account was opened, the type of account opened (mortgage, auto loan, credit card, etc.), the loan amount or credit limit, the account’s current balance, and the borrower’s payment history.
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◦ Public Records
◦ Credit reports may show previous bankruptcies.
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• Credit reports can reveal many potential warning signs in an applicant, especially if your new hire will regularly be handling money. High levels of debt or excessive spending on assets could indicate financial irresponsibility.
3. Criminal Records
3. Criminal Records
◦ If an employer knows—or should have known—about an employee’s relevant criminal background, they may face negligent hiring claims if the employee is accused of further wrongdoing. What shows up on a background check for employment may help safeguard business owners by revealing histories of criminal convictions.
• Criminal background checks for employment may show criminal offenses at the county, state, and federal level. Various offenses which may be reported include:
◦ Current pending charges
◦ Misdemeanor convictions
◦ Felony convictions
◦ Acquitted charges
◦ Dismissed charges
• Employers should take caution when evaluating what shows up on this form of background check for employment.
Depending on the type of job employers are hiring for, they might require additional information from their candidates and ask for more information on their background check for employment. Further searches include options such as motor vehicle and driving records, employment history, education verification, reference checks, and drug screening.
Why does it matter what a background check shows?
The consequences of making the wrong hire are staggering. According to a recent CareerBuilder survey, almost 27 percent of U.S. employers said that just one bad hire has cost their company more than $50,000
Depending on the type of job employers are hiring for, they might require additional information from their candidates and ask for more information on their background check for employment. Further searches include options such as motor vehicle and driving records, employment history, education verification, reference checks, and drug screening.
Why does it matter what a background check shows?
The consequences of making the wrong hire are staggering. According to a recent CareerBuilder survey, almost 27 percent of U.S. employers said that just one bad hire has cost their company more than $50,000