Rigatel Corp.,an investment bank,was in the final stage of its selection process for a business analyst.Rob was one of the desired candidates for the position.As part of background checks,the bank wanted to look at his credit history.Which of the following requires them to obtain Rob's consent before using a third party to check his credit history?
A) The Civil Rights Act of 1991
B) The Fair Credit Reporting Act
C) The Fair Labor Standards Act
D) The Labor-Management Reporting and Disclosure Act
E) The Consumer Credit Protection Act

Question

Quizplus · Accepted Answer

The Fair Credit Reporting Act requires employers to obtain a candidate's consent before using a third party to check the candidate's credit history or references. If the employer then decides to take an adverse action (such as not hiring) based on the report, the employer must give the applicant a copy of the report and summary of the applicant's rights before taking the action.