Ask HN: Should I sign doc to let prospective employer check my credit? - g8gggu89
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ApolloRising
Credit checks are common for finance companies or any positions that deal with
money. Usually it is not a huge deal they just want to see if you have any
huge outstanding financial issues that would indicate that you can't manage
your own finances. The higher up in position you go (Director+) the more you
may encounter this when you have budget responsibilities.

You can always say you have no problem doing this when you are at the offer
stage and both sides think it is a fit.

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Broken_Hippo
There are some laws for higher-ups when they are dealing with finances, mostly
because of liability issues.

Other than that, this is really common in entry-level jobs (When I was young
and didn't have a handle on finances, I nearly got turned down for a gas
station job, on the premise that bad credit meant that I was more likely to
steal stuff). Never really know if it is a big deal to the company or not,
really.I'd have been pissed off if I had bad credit due to hospital bills or
something else out of my control like so many people, but that particular
stuff was entirely my own fault and stupidity.

But most times, it is just a formality, you know, because they can.

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chatmasta
What are these laws exactly? Are you saying that, e.g. CFO, requires a minimum
credit score, _by law_?

~~~
NeutronBoy
Not a minimum credit score, but it's prudent to check if a candidate who
you're wanting for a role that has significant control over money is
financially sound. One of the major motivators of financial fraud is
necessity.

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davismwfl
It isn't an uncommon request if you are in the position of responsibility over
money or people. At the same time I have had a lot of employers ask for the
form to be signed and they never actually pull your credit.

Also, you should know that an employer pulling your credit does not affect
your credit score or profile to banks, credit cards etc, it is a different
type of request just like car insurance. It doesn't count as a "hard pull"
either which can lower your score.

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philiphodgen
I can tell you (because I am in the process of writing an employee manual and
hiring procedures) that the three critical factors are: will this person have
access to a customer's name, date of birth, and Social Security Number?

If so, a credit check is warranted for the potential employee.

There are other factors as well. But for lower level positions, access to
information (legitimately or otherwise) is the key factor.

I am not telling you this is the law. I am not telling you this is the right
thing to do. I am telling you this as someone who has had an employee embezzle
from our company and who is working with an experienced HR consultant and a
labor lawyer to put the right structure in place -- for all of the usual
reasons.

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kafkaesq
Depends how much leverage you feel you have.

(Same with any of the various other humiliations employers like to think they
can force on us, just because (think) they can: drug tests, personality tests,
NDAs, non-competes, putting your mugshot on their website, etc.)

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chc
How desperate are you for this particular job? I definitely wouldn't, because
that's a ridiculous request, but I also wouldn't be out on the streets if I
turned down a job.

