Is it time to abolish employment credit checks?

[Le Jacquelope]

What with as many personal bankruptcies, chargeoffs, collection activities and foreclosures that are happening nowadays because of skyrocketing unemployment, these employment checks could discriminate millions of additional people out of future jobs when the recovery does happen.

At least any job that pays more than minimum wage.

The damage from this could depress take-home pay for millions and put a fair drag on the economy due to their prolonged lack of purchasing power - not only from their bad credit but because their job prospects are also severely curtailed due to discrimination.

Failing that, we could make it a law that every employer that requires a credit check, register this fact publicly so millions of people could harass or boycott them. Yeah, I said harass.

Failing that, we should also bar people who own or run a business (CEOs) from requiring credit checks if they have bad credit. If a particular business does require a credit check, the CEO/proprietor of that particular business should be subjected to yearly financial scrutiny and assessed a penalty if their credit goes bad. I mean, really, who is to say that a business owner with bad credit won't rob his own till and put tons of workers out of business? And if bad credit means a bad worker... why wouldn't bad credit also mean a bad manager/owner?

In fact, let's assess businesses an extra layoff insurance premium that goes above standard unemployment - an owner with bad credit pays more into it.

It all goes both ways.

 

[ravenmx]

My company does credit checks for certain job functions

If you job deal with taking credit cards or are able through your job function to see credit card numbers, expire dates and names in the database. On one hand I slightly understand why on the other hand I don't necessarily agree.

The reasons I don't agree: I could be a millionaire with A1 credit and have a drinking, gambling or whatever type of problem or simply just think that I am above the law due to my monetary status and not think twice about stealing credit card information or I could be the poorest person with the worst credit, kids, single parent ect and still be to moralistic to even fathom stealing credit card information to make it. I don't think because you have bad credit you are a bad employee, I don't agree that companies should think your credit makes who you are because in some cases it just isn't true.

In the above scenario I would be out of a job (or at the very least in my company limited to what dept. I could work in) and the millionaire could actually be the CEO, Finance director, or whatever of the company.

 

[cloudy]

I've never agreed with employment credit checks. Never.

A person is not their credit rating.

 

[JAMESBJOHNSON]

It's my experience that credit checks help companies and agencies identify the enuchs who wont fuck with the harem.

On the other-hand, it helps them identify clever criminals, because people with unblemished records are pretty slick at evading detection.

 

[sr71plt]

I've never agreed with employment credit checks. Never.

A person is not their credit rating.

But the "person" isn't their ability to repay. Why should anybody lend you money without any notion of your ability to repay? That would be pretty dumb. How would they find this out without checking your credit use history? If you don't want someone checking into your ability to repay a loan, don't ask them to loan money to you.

A "person" needs to take responsibility for him/herself and stop expecting handouts.

 

[cloudy]

But the "person" isn't their ability to repay. Why should anybody lend you money without any notion of your ability to repay? That would be pretty dumb. How would they find this out without checking your credit use history? If you don't want someone checking into your ability to repay a loan, don't ask them to loan money to you.

A "person" needs to take responsibility for him/herself and stop expecting handouts.

Well...duh.

Applying for a job, and applying for a loan are two completely different things. This thread is about credit checks as a condition of employment. Please read.

 

[Safe_Bet]

But the "person" isn't their ability to repay. Why should anybody lend you money without any notion of your ability to repay? That would be pretty dumb. How would they find this out without checking your credit use history? If you don't want someone checking into your ability to repay a loan, don't ask them to loan money to you.

A "person" needs to take responsibility for him/herself and stop expecting handouts.

What does them "lending you money" have to do with being qualified for a job? I can see a criminal background check if you are handling money, but anything else they can kiss my ass.

 

[lesbiaphrodite]

I have friends around the globe and they don't have these kinds of background checks at all as pre-qualifiers for employment, housing or anything else.

 

[cloudy]

What does them "lending you money" have to do with being qualified for a job? I can see a criminal background check if you are handling money, but anything else they can kiss my ass.

Oh, he just saw what I said and couldn't resist arguing. Apparently he was so excited by the prospect that he never bothered to read what the thread is about.

Bless his heart.

 

[R. Richard]

I run a business. I hire who I want of the people who apply to me for a job.

I provide the contracts, the support and somertimes even the equipment needed to do the job. Most of the time, I work alongside my people, under the same conditions except that I'm responsible for the entire job, as well as my part of the job.

I do have some supposed restrictions on my power as a boss. I can't refuse to hire someone because of race or religion. Those aren't restrictions on me, because I don't hire on the basis of race or religion, but on ability to do the job. I don't hire the handicapped as my frontline workers for much the same reason that a pro sports teams doesnt hire the handicapped as their frontline workers. I won't hire people who can't work with my core team. The reasons why they can't work with my core team are unimportant, it's their simple lack of capability.

As it happens, I don't run credit checks on most of my people. However, if I find it necessary, I'll run a credit check on someone before I hire them. If you don't like the idea of me running a credit check, don't apply to my company for employment. If you don't like the way I run my business, too damn bad. You can't boycott my business, we come to you [you can run, you can hide, we'll find you.] My 'customers' are 100% unhappy with my operation. The people who hire me are happy with the results I get. The people who hire me aren't too happy with the way I operate, but, when they want results, they come to me.

 

[glynndah]

Needing to run a credit check due to the nature of the business is different than just running one on everyone.

 

[sr71plt]

What does them "lending you money" have to do with being qualified for a job? I can see a criminal background check if you are handling money, but anything else they can kiss my ass.

It doesn't. I was being stupid.

That said, having had to go through a 9-month background check that looked into a hell of a lot more than just my credit history before I was hired on my career job--and having to continue to file annual financial disclosure statements to my former employer even after being retired from there for ten years, I'd say it depended on what the job was on how much background checking should be required. I certainly wouldn't see the need for it from the guy who changes the oil in my car.

 

[Liar]

What kind of nature of business would warrant a credit check anyway?

Where is what a credit check shows anything but circumstancial hodgepodge that is most likely irrelevant?

Would I hire an accountant with a bad credit check? I fail to see why not. If anything, guy'll be desperate for secure employment and will be likely to try to keep it.

 

[sr71plt]

What kind of nature of business would warrant a credit check anyway?

Where is what a credit check shows anything but circumstancial hodgepodge that is most likely irrelevant?

Would I hire an accountant with a bad credit check? I fail to see why not. If anything, guy'll be desperate for secure employment and will be likely to try to keep it.

Spying does. (Although in the case of some spies caught late in the act, I sorta wonder how good the credit check has been). Works two ways. If you make $90,000 a year in your government salary and you live in a $3 million house and drive a Mercedes 500--it's quite a good idea for the employer to know where your extra money is coming from. At the other end, if you make $90,000 and your mistress is asking for a Mercedes 500, it's a good idea for your employer to know how you are planning to bring in the extra money needed.

I've always paid cash for groceries--left over from being told that if I used a credit card, this was one of several flags that went up to the counterintelligence watchdogs that I was living on the edge and was being forced to pay for this week's groceries from next month's salary check. That certainly sounds silly these days when grocery bills are up in the 100s of dollars and credit cards are used so much, but this was once one thing to consider.

That said, I'd say a check for how well you handle your money (and how desperate you might be to have more money fast) is a good idea for an employer to require of any prospective employee who will be handling large amounts of the company's money with minimum supervision and also for employees with access to vital proprietary information that anyone outside the company would love to have and could disadvantage the company if they had it. These would apply to a significant number of job positions, I would think.

 

[Liar]

That said, I'd say a check for how well you handle your money (and how desperate you might be to have more money fast) is a good idea for an employer to require of any prospective employee who will be handling large amounts of the company's money with minimum supervision and also for employees with access to vital proprietary information that anyone outside the company would love to have and could disadvantage the company if they had it. These would apply to a significant number of job positions, I would think.

Ok, but what about a credit check? It's a check for whether you are likely to be able to repay a loan. An ability that has causes way beyond your ability to handle money. Which is why I called it circumstancial hodgepodge.

And I've never met anyone with bad credit who was desperate for fast cash. What most people with bad credit (and thus no ability to for instance take a loan and buy a home) need, is continuity. A steady paycheck so that they instead of buying a home, can rent one. Mistresses that want a Merce is kind of pulp fiction for regular peeps.

 

[sr71plt]

Ok, but what about a credit check? It's a check for whether you are likely to be able to repay a loan. An ability that has causes way beyond your ability to handle money. Which is why I called it circumstancial hodgepodge.

And I've never met anyone with bad credit who was desperate for fast cash. What most people with bad credit (and thus no ability to for instance take a loan and buy a home) need, is continuity. A steady paycheck so that they instead of buying a home, can rent one. Mistresses that want a Merce is kind of pulp fiction for regular peeps.

Ever heard of embezzlement and/or selling company secrets and what usually leads to those? The need for money is the need for money. Not being able to keep up with your credit responsibilities reeks of the need for money. I think some folks here are being obtuse--or awfully defensive about personal circumstance. LaJack brings this up on a regular basis--as well as variations of it (which is what caused me to misread what the thread was specifically about). I think it's a personal thing with him. If you keep your credit nose clean, I don't think you worry about this. If you don't, yep you've got a money problem to hide from a prospective employer--and so, of course, you don't like to have a credit check done when you choose to seek employment.

 

[Le Jacquelope]

Ok, but what about a credit check? It's a check for whether you are likely to be able to repay a loan. An ability that has causes way beyond your ability to handle money. Which is why I called it circumstancial hodgepodge.

And I've never met anyone with bad credit who was desperate for fast cash. What most people with bad credit (and thus no ability to for instance take a loan and buy a home) need, is continuity. A steady paycheck so that they instead of buying a home, can rent one. Mistresses that want a Merce is kind of pulp fiction for regular peeps.

Indeed - these people want stability and they rarely want to put themselves at risk for imprisonment over crap like stealing from the till.

I wonder what Made-off's credit rating was...

 

[Liar]

Ever heard of embezzlement and/or selling company secrets and what usually leads to those? The need for money is the need for money. Not being able to keep up with your credit responsibilities reeks of the need for money.

1. Yes I've heard of embezzlement. What leads to that rarely show up in a credit check.

2. Failing a credit check doesn't have to mean that you are in debt and not able to keep up with your credit responsibilities. It quite often mean that you are not allowed to take on new credit responsibilities.

3. Yes it reeks of the need for money. A continuous and reasonably secure supply of money. Like, you know, a paycheck.

 

[Le Jacquelope]

1. Yes I've heard of embezzlement. What leads to that rarely show up in a credit check.

2. Failing a credit check doesn't have to mean that you are in debt and not able to keep up with your credit responsibilities. It quite often mean that you are not allowed to take on new credit responsibilities.

3. Yes it reeks of the need for money. A continuous and reasonably secure supply of money. Like, you know, a paycheck.

Ask Propeller Boy if Kenneth Lay had bad credit. That'll shut him up.

 

[sr71plt]

1. Yes I've heard of embezzlement. What leads to that rarely show up in a credit check.

Well . . . yes . . . few folks embezzle the money before they get the job. Beyond that, I don't follow the relevance of what you've posted.

 

[sr71plt]

Ask Propeller Boy if Kenneth Lay had bad credit. That'll shut him up.

No. He had great credit--having syphoned all sorts of folks' money off while he was on the job. Again, what is the relevance?

 

[sr71plt]

Again, I go back to suggesting that the only folks who are incensed about this are folks who have bad credit and have let it further muck up their lives. Gotta have someone else to blame for it, though, I guess.

 

[Liar]

Well . . . yes . . . few folks embezzle the money before they get the job. Beyond that, I don't follow the relevance of what you've posted.

What I meant was that the motives to embezzle not always, not even mostly, are a dire need for fast bucks. And when it is, the need for fast bucks is probably not because of bad confidence from credit institutions, but other things that goes under the radar for a credit check. Like, stuff between you and your bookmaker, or dealer.

 

[Le Jacquelope]

What I meant was that the motives to embezzle not always, not even mostly, are a dire need for fast bucks. And when it is, the need for fast bucks is probably not because of bad confidence from credit institutions, but other things that goes under the radar for a credit check. Like, stuff between you and your bookmaker, or dealer.

Well what if you're applying for a job with the bookmaker and you've had trouble making good on your bets?
(Okay, that makes no sense, but neither does sr71plt's arguments)

 

[freshface]

What I meant was that the motives to embezzle not always, not even mostly, are a dire need for fast bucks. And when it is, the need for fast bucks is probably not because of bad confidence from credit institutions, but other things that goes under the radar for a credit check. Like, stuff between you and your bookmaker, or dealer.

A credit score can also be a measure of how a person handles their obligations. A history of late payments and over extensions can be an indicator of someone who isn't as trustworthy. Not saying that it should be a deal breaker, but certainly something I'd want to ask about in a job interview. Cancer and no health insurance is one thing. Chronically living beyond your means speaks to character.