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Credit Checks on New Hires Decline

Philadelphia Inquirer (08/27/12) Marilyn Kennedy Melia

Fewer companies are performing credit checks on job applicants than were two years ago, according to a Society for Human Resource Management survey. Two years ago, 40% of companies said they did not use credit reports in their hiring process; that number has since climbed to 53%. Eight states have enacted laws governing how companies may use credit reports in the hiring process, and the federal government also restricts using someone’s credit history as a factor in hiring.