What Information Employers Use Beyond Background Checks

What types of information might employers now use beyond traditional background checks? According to the Consumer Financial Protection Bureau, employment reports often include credit checks, criminal background checks, public records such as bankruptcy filings and other court documents, and information related to your employment history — and these reports are increasingly used on current workers, not just applicants.

This guide walks through what employers can see in the background screening process, who compiles the data, what rights you have, and how to check your own reports before a hiring decision is made about you.

It is written for Colorado job seekers and workers — including the many service members and military spouses in Colorado Springs who change employers around PCS moves — but the rules described here are federal consumer protections that apply broadly.

What types of information might employers now use beyond traditional background checks?

The CFPB lists several categories of information that commonly appear in employment reports. Here is the short version before we go deeper:

• Credit checks for employment
• Criminal background checks and criminal history
• Public records, such as bankruptcy filings and other court documents
• Information related to your employment history
• Reports from specialty consumer reporting agencies that extend beyond traditional background checks

The CFPB also notes that these third-party consumer reports increasingly encompass a wide range of information and assessments about workers, not just a simple criminal records search.

Each category works a little differently, so the next sections break them down one at a time.

Credit checks for employment

A credit check for employment is one of the most common additions to the background screening process. An employer orders an employment version of your credit report through a consumer reporting agency.

The CFPB’s practical tip here is direct: check your credit before starting a job search. Review your credit reports closely for mistakes or missing items.

If you find a problem, dispute it with the credit reporting company and with the creditor that provided the information. Getting correct information on file before an employer pulls the report puts you in a stronger position.

This habit pays off twice in a market like Colorado Springs.

Credit is only one lane, though — criminal records are often the first thing people picture when they hear the words background check.

Criminal background checks and court records

Criminal background checks remain the core of most employment background checks. They draw on criminal records and court records to show an employer whether a potential employee has a criminal past that the company believes is relevant to the position.

How criminal history reaches an employer

Employers rarely pull criminal history themselves. They order it through one of the hundreds of companies that provide employment background checks and qualify as consumer reporting agencies under federal rules.

That matters because the consumer-report framework — written permission, adverse action notices, and dispute rights — attaches to criminal background checks ordered this way, just as it does to credit checks.

Fair chance hiring and applicable laws

You may also hear the term fair chance hiring.

How fair chance rules apply varies by state and city, so confirm the applicable laws and regulations where you live before assuming how an employer may use criminal records in its hiring practices.

Criminal records are not the only public records in play, which brings us to court filings beyond the criminal docket.

Public records like bankruptcy filings

Employment reports can include public records such as bankruptcy filings and other court documents. These sit alongside criminal history in the report an employer receives.

A bankruptcy or another court record can surprise applicants who assumed the background check would stop at criminal records. Knowing the report may be broader lets you prepare an explanation before the question comes up in the hiring process.

Because these records come from courts rather than creditors, errors can creep in — a mismatched name, an outdated status, a case that resolved long ago. The dispute rights described later in this article apply to this information too.

Public records cover the past on paper; employment history data covers what you actually did at work.

Employment history and employment verification

Information related to your employment history is another standard component of employment reports, per the CFPB. In practice this is the data an employer uses for employment verification — confirming where a candidate worked and what the candidate claimed on an application.

If the employment information in a report does not match reality, the mismatch can cost you the position even when the error is not yours. That is why the CFPB’s advice to review your reports and dispute problems extends beyond the credit file.

Employers may also conduct education verification and reference checks as part of their due diligence on candidates, confirming educational degrees and past performance through their own channels or through a screening company.

Much of this data flows through a category of companies most people have never heard of: specialty consumer reporting agencies.

Specialty consumer reporting agencies: the data sources you never see

Hundreds of companies provide employment background checks and qualify as consumer reporting agencies. Beyond the big three consumer reporting agencies, there are specialty consumer reporting agencies that collect narrower slices of information about you.

How to get your specialty reports

Just as with the big three, you can get free copies of your reports from many of the specialty consumer reporting agencies. Other specialty agencies may charge a fee for your report.

Keep in mind that not every agency will have information on everyone. The CFPB has published a list of specialty consumer reporting agencies along with instructions for obtaining copies of your reports.

Why requesting your own reports matters

Pulling your own reports before a job search is the only reliable way to see what a background screening company might hand an employer. It is the up to date information advantage: you find the error before the employer does.

And increasingly, these reports are not just a one-time gate at hiring — they follow workers into the job.

Background screening of current employees, not just applicants

The CFPB notes that many employers now use third-party consumer reports to make employment decisions about their current workers as well, not only about applicants.

These reports increasingly extend beyond traditional background checks and may encompass a wide range of information and assessments about workers.

The protections travel with the reports. Employers must obtain worker consent, provide transparency about consumer reports used in adverse decisions, and allow workers to dispute inaccurate information.

So whether you are a candidate or a current employee, the same core rights apply — and they are worth knowing cold.

Your rights in the background screening process

The consumer-report rules the CFPB describes give applicants and employees three concrete protections. More employers relying on background screening makes these rights more valuable, not less.

Written permission comes first

An employer is required to get your written permission before running an employment report on you. Typically you will sign a form authorizing the employment background check.

If a company conducts a consumer-report-based check without that authorization, it has skipped a required step in staying compliant.

Adverse action: you get the report and a notice

Generally, if an employer wants to use the information obtained in the report to take an adverse action against you — such as not hiring you — it must give you a copy of the report it received.

You will also receive an adverse action notice when the employer makes its decision against you. That notice includes the name and contact information of the consumer reporting agency the employer used.

This two-part requirement is what lets you see exactly which records drove the hiring decision instead of guessing.

Disputing inaccurate information

You have the right to dispute inaccurate information. For credit items, dispute with the credit reporting company and the creditor that supplied the data; for other report contents, the adverse action notice tells you which agency to contact.

Knowing the rights is half the job — the other half is acting on them before you need them.

What the official source says and where to read it

Everything in this article draws from the Consumer Financial Protection Bureau’s consumer guidance on employment credit checks and background checks, available at consumerfinance.gov.

The CFPB is the federal agency that implements and enforces federal consumer financial law. Its page on this topic covers what employers see, the written-permission requirement, adverse action notices, and how to obtain reports from specialty consumer reporting agencies.

The CFPB material is general consumer information, not legal advice. For questions about how applicable laws govern a specific employer’s hiring practices, talk to an attorney.

With the source in hand, here is the practical checklist.

What to do next

Check your credit before starting a job search. Review each report line by line for mistakes or missing items, and stay up to date by rechecking periodically.

Dispute any problems with the credit reporting company and the creditor that provided the information. Correct information on file now prevents a bad surprise during a future background check.

Request your files from the relevant specialty consumer reporting agencies, using the CFPB’s published list. Many provide free copies; some may charge a fee, and not every agency will have a file on you.

If a report ever costs you a job, use the adverse action notice to identify the agency, get your copy of the report, and dispute what is wrong.

And if you are in Colorado Springs juggling a career move and a home purchase at the same time — a common combination around military installations — the same clean credit file serves both goals. The team at 719 Lending can walk you through what shows up on a credit report and how it fits into a mortgage application.

Frequently asked questions

Do employers need my permission to run a background check?

Yes. Under the rules described by the Consumer Financial Protection Bureau, an employer is required to get your written permission before running an employment report. You will typically sign a form authorizing the employment background check.

What do employers see in an employment background check?

Employment reports often include credit checks, criminal background checks, public records such as bankruptcy filings and other court documents, and information related to your employment history. Reports from specialty consumer reporting agencies may extend beyond traditional background checks.

What happens if an employer rejects me because of a background check?

If an employer uses the report to take an adverse action, such as not hiring you, it generally must give you a copy of the report it received. You will also get an adverse action notice naming the consumer reporting agency, which you can contact to dispute inaccurate information.

Can my current employer run consumer reports on me after I’m hired?

Many employers now use third-party consumer reports to make decisions about current workers, per the CFPB. The same protections apply: the employer must obtain consent, provide transparency about reports used in adverse decisions, and allow you to dispute inaccurate information.

How do I get copies of my own background reports?

You can get free copies of your reports from the big three consumer reporting agencies and from many specialty consumer reporting agencies; others may charge a fee. The CFPB publishes a list of specialty agencies with instructions, though not every agency will have information on everyone.

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Last updated: October 2026