Consumers are individuals who may be the subject of a background check, often as an applicant for employment or tenancy. The organization PBSA, assists consumers in understanding their rights and responsibilities related to background checks for employment or tenancy.

As applicants, and the subject of the reports our members prepare, you are an essential part of the background screening process. Employers, property managers and background screeners have legal requirements to follow under the Fair Credit Reporting Act (FCRA) to ensure your rights as a consumer are protected. PBSA encourages applicants to stay engaged in the process, ask questions and discuss any concerns you have with either your employer or property manager or the background screener.

The information below is intended to provide you, the subject of background check report, with general knowledge of the process, terminology used and your rights. Note that the information provided is geared towards individuals in the United States; however, individuals outside of the U.S. may also find the information helpful.

The following resources are provided to you on behalf of the PBSA to serve as valuable navigational tools and resources to assist you. This information is intended for general educational and informational purposes only and is not legal advice, expressed or implied. If you need legal advice, consult with a qualified, licensed attorney.

FACT ACT

Fair and Accurate Credit Transaction Act

On December 4, 2003, President Bush signed into law the Fair and Accurate Credit Transactions Act of 2003, ensuring that all citizens are treated fairly when they apply for a mortgage or other form of credit.

The Fair and Accurate Credit Transactions Act (FACT Act) significantly modified the Fair Credit Reporting Act. We have been in contact with all three repositories (Equifax, Trans Union and Experian) and they are aggressively planning and building infrastructure to be ready for all of the 2004 FACT Act implementation dates.

As required by law, effective June 4, 2004 a consumer reporting agency may NOT provide a consumer report containing any information about debts relating to medical services unless such information is suppressed or coded so that the name of the medical service provider or the nature of the medical service cannot be determined.

This will be the case for any type of debt the repositories can identify as medical – collections, judgments, etc. Not only will the name be suppressed; but, also any corresponding phone numbers or addresses to the creditor.

Should the lender desire any information on a suppressed medical creditor, the consumer will have to provide such information to the lender. As required by law, we will not be able to provide any information on these type creditors. If the consumer needs information about such creditor, the consumer will have to contact the repository directly for a copy of their report and disclosure. Credit reports provided by a repository directly to a consumer will not have medical information suppressed.

Furthermore, we have learned that it is possible after further evaluation that all or some of the repositories will release the information with specific and proper authorization from the consumer. No determination has been made at this time. We will let you know as soon as we receive any updates.

A consumer may reach the repositories at the following:

Equifax - 800.685.1111 or www.equifax.com

Trans Union - 800.888.4213 or www.transunion.com

Experian - 888.397.3742 or www.experian.com

For complete details on the FACT Act, click here: http://www.whitehouse.gov/news/releases/2003/12/20031204-3.html