When Employers Look into Your Credit History

[Amerigo Vespucci]

YES, the article is from July 2011, for those who like to point such things out. The subject has recently become a major sticking point for some people I know so I thought I would post it here.

When Employers Look into Your Credit History

http://money.usnews.com/money/blogs/outside-voices-careers/2011/07/22/when-employers-look-into-your-credit-history

By Heather Huhman
July 22, 2011

As if you don’t have enough to worry about in your job search, some employers now run credit checks on potential employees. It used to be that they only worried about an employee’s credit when the position involved handling money or overseeing financials for the organization. But today, it’s becoming a normal part of the screening process for some employers.

What red flags do employers look for in your credit report?

2. Looking at your credit report can show employers whether you have a pattern of poor decision-making in your personal life that might affect your position at their organization.

3. Your credit report gives employers a sense of your responsibility level in your personal life. If you haven’t done anything to improve your credit or continue to be irresponsible with money, it’s a bad sign for employers looking to hire you.

[lookingfortruth]

1. My friend has always said that practice was going to get bad. They need to pass a law now outlawin

this.

[WingDinger]

2. Bankruptsy cant be used against you. Bull, they can hold the color of your eyes against you.

They can ask you if your father is a natural born citizen. You can refuse, and find another opportunity, unless they all ask.

I was once asked whether my parents were still married.

[zbdent]

4. "I was once asked whether my parents were still married." ...

I hear that being related to each other BEFORE being married is a pre-requisite for being a Republican "free thinker" these days ...

[cindyperry2010]

3. that is why i cannot

get A JOB my credit is an utter mess so how can i fix it if i cannot get a job?

[Amerigo Vespucci]

5. They don't care

I'm self-employed so no one can say "no" to me. That doesn't mean the cash flows freely. That means I work my ass off but the upside is no one can "refuse to hire me."

[cindyperry2010]

9. so i am trying to get a job with ups i fully expect them to check my credit and turn me down

but you know what i am notpaying it . if i cannot get a job i sure am not paying them because i cannot get work.

[Amerigo Vespucci]

11. Here's how to get around that

You have to present yourself in a way that demonstrates you are fully committed to being the best UPS employee they could possibly hire.

You have to provide references that will attest to the fact that you are a stand-up person who had some rough breaks, like a lot of people in this economy, and as soon as you are able to make good on your financial obligations, you'll do so.

By doing this you separate yourself from the people who are irresponsible...the ones employers are afraid of. There are people who have no intention of ever repairing their credit, whether they have the money in their hands to do so or not. Right now, you can't. Don't let them form false impressions about your desire to fix things when you can.

You might even consider contacting some service agencies in your area and see if a pro is willing to "role play" with you...walk through a couple of possible scenarios that might come up in an interview so that you don't get thrown off guard, defensive, etc. The more confident, relaxed, and self-assured you are when you approach an employer, the more likely they will be to have confidence in you.

Best of luck to you.

[cindyperry2010]

12. thank you

i honestly am considering just working for myself and then they can just cram it they do this stuff, Igot sick and there you go, andhow areyou supposed to work after that? they threaten you with suing like that would make a difference trust me if i could pay them to shut them up i would suing does not make a bit of difference to me i have been sued by them 4 times they haven't gotten a dime and are going to sue me again still have no job so what the hell do you do

[alc]

6. I've interviewed and hired quite a few people over 30 years

In 1 hour, or even 3 one hour interviews it's hard to tell the difference between candidates. I've never done background or credit checks, but I'd certainly consider the information if I had it on my final 2 or 3 candidates.

Sometimes one candidate stands out and it's easy.

Sometimes one candidate seems to "fit" better with the team. But that often backfired since interview behavior is not a good reflection of work behavior.

Sometimes it's a coin toss.

Even if one candidate has a better (recent) credit history because of help from family rather than being personally more responsible it's still likely to mean less stress in their life and better performance. I'd rather use that than a coin toss.

[supernova]

7. So, what does someone like me do?

I don't have credit. I haven't used credit since the late 90s. I've used debit cards and cash for the past decade. I don't want credit now or in the future. It's not becauseI'm irresponsible. Quite the opposite. IMO terms and conditions have become usurious and I don't want to participate in a transaction that I believe has become abusive.

I am planning to work for myself when I leave culinary school. I told MasterCard to take a hike in 1998 and don't want anything to do with credit. Ever.

[chaska]

8. Let the church say Amen! What she said, in spades!

[freeplessinseattle]

10. Just paying your utilities affects your credit rating

I think it's more the negative marks they are looking at than rejecting someone with minimal, but consistently good, credit history.

(Not that I support the credit check practice in the least)