An employment background check can cover your work history, education, criminal and other public records, credit history and public social media activity, according to the Federal Trade Commission (FTC). Which of those an employer checks depends on the job.
In the United States, an employer that uses a background reporting company must tell you in a standalone document, get your written permission first, and give you a copy of the report before turning you down because of it.
Key takeaways
- Checks draw on employment and education verification, criminal records, credit history, driving records and identity checks. Not every check includes every item.
- The employer needs your written permission to get a report from a background reporting company. You can refuse, but you may not get the job.
- Before rejecting you because of a report, the employer must give you a copy and a summary of your rights. Afterwards it must name the company that produced it.
- Federal law generally bars reporting arrests and most other negative items older than seven years. Criminal convictions have no federal time limit, and the limits do not apply to jobs paying $75,000 or more.
- Check your own records first: your credit report, and your file at the screening company the employer names.
- Employers must apply the same standards to everyone, and medical questions wait until after a job offer.
01
What does an employment background check show?
| What is checked | What it covers |
|---|---|
| Employment history | Past employers, and in some reports salary |
| Education and licenses | Degrees and professional licenses |
| Criminal records | Arrest and conviction information, and fingerprint checks against state and federal criminal record databases |
| Credit history | Credit reports from the nationwide credit reporting companies |
| Driving record | Motor vehicle and driver’s record information |
| Identity and address | Social Security number verification and residential address history |
| Testing | Drug and alcohol testing and health screening |
| Social media | Public social media activity |
The table combines the FTC’s summary of what employers ask about with the description of employment screening companies from the Consumer Financial Protection Bureau (CFPB).
Not every check includes every item. A driving record matters for a job behind the wheel and may never be pulled for a desk job.
Some subjects are restricted. The Equal Employment Opportunity Commission (EEOC) says employers are not allowed to ask for medical information until they offer you a job, and may not ask for genetic information, which includes family medical history, except in very limited circumstances.
02
What must an employer do before and after the check?
These steps come from the federal Fair Credit Reporting Act. They apply when the employer gets its information from a background reporting company.
- Tell you in writing. The employer must say, in a standalone document, that it could use the information to make decisions about hiring, promoting or firing you.
- Get your written permission. The FTC notes that you have the right to say no, but if you do, you may not get the job.
- Give you the report before deciding against you. Before it decides not to hire you because of something in the report, the employer must give you a copy of the report and a “Summary of Rights”. The EEOC explains why: background reports sometimes say things that are not accurate, and this is your chance to fix them.
- Tell you afterwards who produced the report. If you are turned down, the employer must give you the name, address and phone number of the background reporting company, and tell you that the company did not make the decision and cannot give the reasons for it.
- Tell you about your right to dispute. You can dispute inaccurate or incomplete information with the reporting company and get an additional free report if you ask within 60 days of the employer’s decision.
If an offer depends on the check, do not resign from your current job until the employer confirms that you have cleared it. The guide to accepting a job offer covers what an offer can be contingent on.
03
How far back does a background check go?
Federal law limits what a reporting company may include in a report.
| Type of information | Federal limit on reporting |
|---|---|
| Bankruptcies | 10 years |
| Civil suits, civil judgments and records of arrest | 7 years, or until the statute of limitations expires if that is longer |
| Paid tax liens, and accounts placed for collection or charged off | 7 years |
| Any other adverse information | 7 years |
| Criminal convictions | No federal time limit |
One exception matters for job seekers. None of these limits applies when the report is used for a job with an annual salary of $75,000 or more.
These are limits on reports, not on application forms. What an employer may ask you directly, and when, can also depend on local law. The FTC notes that some cities and states have specific requirements covering what employers can ask about credit history or criminal records, and when in the hiring process they can ask.
04
How can an employer use what it finds?
The EEOC’s rules are about equal treatment.
- An employer must treat you the same as anyone else, regardless of race, national origin, color, sex, religion, disability, genetic information or age (40 or older).
- It would be illegal to reject applicants of one ethnicity with criminal records for a job but not reject other applicants with the same records.
- A policy that excludes people with certain criminal records can be unlawful if it significantly disadvantages people of a particular race, national origin or other protected characteristic and does not accurately predict who will be a responsible, reliable or safe employee.
The EEOC’s practical advice: if there is something negative in your background, be prepared to explain it and why it should not affect your ability to do the job. If the problem was caused by a medical condition, you can ask for a chance to show that you can still do the job.
05
How to prepare for a background check
- Check your credit report. The FTC recommends getting your free report at AnnualCreditReport.com or by calling 1-877-322-8228, so that you can dispute mistakes before an employer sees them.
- Ask which screening company will run the check. The CFPB suggests asking for the company’s name when you give your authorization, then contacting it to fact-check your report. Many screening companies will have no file on you until an employer orders one. The CFPB publishes a list of these companies with their contact details.
- Make your application match the record. Dates, employers, titles and degrees are the items a verifier compares. See whether you can change a job title on your resume and how to explain employment gaps.
- Look up your local rules. City and state laws can restrict questions about credit and criminal history.
- Prepare a short explanation for anything negative: what happened, when, and what is different now.
- Keep sensitive details for the right moment. The FTC says not to put your Social Security number or bank details on an application or resume, and that a company asking for them before you even interview is probably running a job scam. A real employer may ask for your Social Security number during the interview process in order to run the check.
06
What if the background report is wrong?
Errors happen. FTC guidance for screening companies describes the kinds that should not appear:
- criminal convictions that belong to someone else, such as a person with a different middle name or date of birth;
- the same offense listed more than once;
- criminal records that have been expunged or sealed.
If you find a mistake, the FTC’s advice is to act in this order:
- Contact the background reporting company, explain the mistake and include any supporting documents.
- When the company says it has revised the report, check that the mistake is gone.
- Ask the company to send the corrected report to the employer, and tell the employer about the mistake yourself.
If an employer got your report without permission, or rejected you without the required notices, report it to the FTC at ReportFraud.ftc.gov. If you think a background check was used in a discriminatory way, contact the EEOC.
FAQ
Frequently asked questions
Do employers need permission to run a background check?
Yes, when they use a background reporting company. The FTC says the employer must tell you in a standalone written document that it may use the information for employment decisions, and must get your written permission before asking the company to run the check. You can refuse, but you may not get the job.
How far back does an employment background check go?
Under federal law, reporting companies generally cannot report arrest records, civil suits and judgments, or most other negative information older than seven years, or bankruptcies older than ten. Criminal convictions have no federal time limit. None of the limits applies to a job with an annual salary of $75,000 or more.
Does a background check show that you were fired?
A report can verify where you worked. Whether the reason you left comes up depends on what your former employer discloses when it is asked, and on state law and company policy. The guide to whether employers can find out you were fired covers that question.
Can you be turned down because of a background check?
Yes, but the employer has to follow a process. Before deciding, it must give you a copy of the report and a summary of your rights. Afterwards it must name the reporting company and tell you that you can dispute errors and request another free report within 60 days. It must also apply the same standards to every applicant.
Does an employment background check affect your credit score?
No. The CFPB states that employment screening will not impact your credit scores. If the employer is checking your credit history, the CFPB suggests requesting and reviewing your own reports from the nationwide credit reporting companies as well.
Sources
- FTC: Employer Background Checks and Your Rights: what employers check, the permission and notice rules, and how to dispute errors.
- EEOC: Background Checks: What Job Applicants and Employees Should Know: medical and genetic questions, equal treatment, and criminal record policies.
- CFPB: List of consumer reporting companies: what employment screening companies report, how to fact-check your file, and the effect on credit scores.
- Cornell Law School Legal Information Institute: 15 U.S. Code § 1681c: the federal time limits on reported information and the $75,000 salary exception.
- FTC: What Employment Background Screening Companies Need to Know About the Fair Credit Reporting Act: accuracy duties and the errors that signal a faulty report.
Published by Jobbie and last updated on October 6, 2026. This guide is general information for job seekers, not legal, tax or financial advice. Spotted something wrong? Tell us.