Clarifacts clients have confidence knowing that we operate in full compliance with the regulations governing the employment screening industry.

FCRA Compliance
The most significant regulation is the Fair Credit Reporting Act (FCRA). The FCRA is designed to promote accuracy, fairness and privacy of information in the files of every Consumer Reporting Agency (CRA). Companies that perform pre-employment screening services, such as Clarifacts, are considered CRAs and are governed by the FCRA, as are the employers that use such services.

Employers who fail to comply with the FCRA face legal consequences and are subject to litigation. Under the FCRA individuals may take legal action against employers in federal court. The law also allows individuals to seek punitive damages for deliberate violations as well as recover court costs and reasonable legal fees. In addition, the Federal Trade Commission, other federal agencies, and the states may sue employers for noncompliance and obtain civil penalties.

Complying with the FCRA is easy — choosing Clarifacts as your employment screening partner is a great start. We provide our clients with the necessary forms and letters as well as guide them on any compliance issues.

Summary of Rights Under Fair Credit Reporting Act

Pre-Adverse Action Notification Letter

Adverse Action Notification Letter