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Employer update on Credit Report

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Anonymous
Not applicable

Employer update on Credit Report

I was alerted to an inquiry on my credit report the other day. When I checked it told me my employment had been updated. When I called the bureau, they told me my company updated my employment. I have been employed with them for 7 years.

I applied for a credit card 2 weeks ago through Wells Fargo and put my employer on there. What's weird is I also just received a home loan on April 26th from wells, so they already had my info and TansUnion said it was my employer that updated it not Wells.

My concern is; I am battling with my employer, about to go to court and I am wondering since I am sure I signed a consent to have my credit pulled when I was hired, is this some back door way my employer can see my report? Like, they say I'm there employee and they are allowed to view my credit profile? I have nothing bad on my report just curious as to if they are snooping on me.
Message 1 of 5
4 REPLIES 4
RobertEG
Legendary Contributor

Re: Employer update on Credit Report

FCRA 604(b) provides two types of permissible purposes to employers.  The first is in consideration of applications for employment, and the second is for any general eimployment realted purpose.  Your permissible purpose would fall into the second category.

 

That permissible purpose has the following constraints:

 

"FCRA 604(b) Conditions for Furnishing and Using Consumer Reports for Employment Purposes

(1) Certification from user.  A consumer reporting agency may furnish a consumer report for employment purposes only if

     (A)  the person who obtains such report from the agency certififies to the agency that

            (i) the person has complied with paagraph (2) with respect to the consumer report, and the person will comply with paragrph (3) with respect to the

                 consumer report if paragraph (3) becomes applicable.

           (ii) information from the consumer report will not be used in violation of any applicable Federal or State equal opportunity law or regulation, and

          (iii) the conseumer reporting agency provides with the report, or has previously provided, a summary of the consumer's rights under this title, as prescribed

                by the Federal Trade Commission under section 609(c)(3).

(2) Disclosure to consumer.

     (A) In general.  Except as provided in subparagraph (B), a person may not procure a consumer report, or cause a consumer report to be procured, for

           empoyment purposes with respect to the consumer,unless -

           (i) a clear and conspicuous disclosure has been made in writing to the consumer at any time beore the report is procured or caused to be procured,

               in a document that consists solely of the disclosure, that a consumer report may be obtained for employment purposes, and

           (ii) the consumer has authorized in writing (which authorization may be made on the document referred to under clause (i)) the procurement of the

               report by that person.

.......

(3) Conditions on use for adverse actions. 

     (A) In general.  Except as provided in subparagraph (B), in using a consumer report for employment purposs, beore taking any adverse action based

            in whole or in part on the report, the person intending to take such advers action shall provide the consumer to whom the report relates -

           (i) a copy of the report, and

           (ii) a description in writing of the righst of the consumer under this title, and prescribed by the Federal Trade Commission under section 609(c)(3)."

Message 2 of 5
Anonymous
Not applicable

Re: Employer update on Credit Report

Not really sure, but I think you're saying they have to furnish me with a copy if I gave them permission? Too much legal speak in that to decipher.
Message 3 of 5
Anonymous
Not applicable

Re: Employer update on Credit Report

Once you are employed I do not believe they can continue pulling your reports.  They would need another signed release.  If they used that report for any adverse action then they would need to give you a copy.

 

That is my understanding of it.

Message 4 of 5
RobertEG
Legendary Contributor

Re: Employer update on Credit Report

+1

That is exactly what section 604(b)(2)(A) requires.... notice of any pull, and consent of the consumer.

Message 5 of 5
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