The Sixth Circuit affirmed a lower court order granting summary judgment in favor of Kaplan in a high-profile credit check lawsuit that the EEOC brought against the education company. The EEOC alleged that Kaplan’s use of credit checks causes it to screen out…
Posts by Category: Credit Checks
Beyond Credit Reporting: The Extension of Potential Class Action Liability to Employers under the Fair Credit Reporting Act
The provisions of FCRA apply to any business entity that seeks to use a “consumer report” – which broadly includes anything from a credit report to a criminal or even motor vehicle background check – for any “employment purposes.”…
Credit Checks Pose Hurdle for Job Seekers
Employers are permitted by law to run credit checks on employees or prospective employees, and nearly half do, according to a 2012 study by SHRM. But there are limits to how these checks can be ordered and used, and the FTC and the EEOC want employers and employees to…
Credit Checks Are Kicking the Jobless When They’re Down
Credit checks have become a routine part of the hiring process. Nearly half of all companies run them on potential employees, according to SHRM. One in four Americans say they have been told that they missed out on a job because of their credit history. And yet, as…



