Asked by Bailey Hasler on Jun 28, 2024
Verified
An employer must notify a job applicant or current employee that a credit report may be used and must obtain the applicant's consent prior to requesting an individual's credit report from a credit bureau.
Credit Report
A detailed report of an individual's credit history prepared by a credit bureau, used by lenders to determine creditworthiness.
Credit Bureau
An agency that collects and aggregates individuals' credit information, providing credit reports to lenders.
Consent
Agreement or approval given freely and deliberately by a competent individual.
- Understand the criteria for reporting credit and the entitlements of individuals concerning their credit data.
Verified Answer
AS
Amrit SapkotaJun 30, 2024
Final Answer :
True
Explanation :
Under the Fair Credit Reporting Act (FCRA), employers are required to notify applicants or employees and obtain their consent before obtaining their credit report for employment purposes.
Learning Objectives
- Understand the criteria for reporting credit and the entitlements of individuals concerning their credit data.
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