Can a company look at your credit score?

Asked by: Lorenza Bergnaum  |  Last update: October 6, 2025
Score: 4.9/5 (18 votes)

Employers can check your credit report unless you live in a state or city with laws that make hiring credit checks illegal. An employment credit check shows limited details about your credit report, including your debt, payment history and any liens or bankruptcies. Employers won't see your credit score or income.

Is it legal for a company to check your credit score?

Employers cannot see your credit score, but they can view a modified, limited version of your credit report. You have rights under the Fair Credit Reporting Act (FCRA) that restrict how and when your employer can pull your credit.

Can I be denied a job because of my credit score?

Yes, unfortunately a job can decline your application due to a bad credit score. Though it might only be relevant if your job directly correlates to managing finances or the company feels like a poor financial behaviour could impact their business.

Can you lose a job offer due to bad credit?

Here are a couple of reasons why an employer might withdraw an offer after a credit check: If the credit check reveals a history of significant financial irresponsibility. Unpaid bills, missed payments, and bankruptcy are all signs of potential problems that companies might consider.

What is the minimum credit score for a job?

Employers don't get a credit score during this process, and thus there is no minimum credit score for employment.

Why Companies Check Your Credit Score | #grindreel

41 related questions found

Will I get hired if I have bad credit?

Know Your Rights. Before diving into employment and credit laws, let's dispel a myth that's been perpetuated online. When you hear things like “a bad credit score can prevent you from getting a job,” it's actually not true. That's because employers don't pull your actual credit scores like a lender might, says Griffin.

Is 579 a bad credit score?

A bad credit score is a FICO credit score below 580 and a VantageScore lower than 601.

Can you be fired for low credit score?

In most cases, you cannot be fired solely because of bad credit or a low credit score. However, employers in certain industries like financial services can legally fire employees if their poor financial health is seen as a risk.

Can you go back to a company after declining a job offer?

Revisiting an opportunity once declined isn't ideal, but circumstances can change. First, release any lingering guilt or negative emotions regarding your prior decision. If you handled the situation respectfully, the hiring manager should harbor no ill will. Next, communicate your evolved perspective.

How to explain bad credit to potential employer?

A letter explaining bad credit should be honest and transparent. Acknowledge your financial situation, and explain any extenuating circumstances that may have contributed to it. Honesty is critical since any lies or omissions will inevitably come to light and could jeopardize your job prospects.

Will bad credit affect my background check?

Credit scores typically do not show up on a background check. Most background checks for employment do not seek credit information, but rather, criminal history. They are typically looking for whether you are dangerous to employ. "Some pre-employment screenings do go deeper and look at credit.

How do you check if you are blacklisted?

You can obtain a copy of your credit report from one of the major credit bureaus in South Africa, such as TransUnion, Experian, or Compuscan. Before you can access your credit report, you must confirm your identity by providing the bureau with data that they can verify.

What states prohibit credit checks for employment?

California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Nevada, Oregon, Vermont and Washington restrict or outright ban credit checks for employment.

Can I be denied a job because of my credit?

Smith explained that even if a potential employer isn't looking at your credit history specifically, they may still pull your credit report: “A credit score can affect your job chances by getting you denied employment. There are limited reasons why someone can obtain a credit report or consumer report about a person.

Can jobs look at your credit score?

Thanks to the Fair Credit Reporting Act (FCRA), employers can't go checking your credit history behind your back. They must have written consent before pulling an applicant's credit history.

Does Affirm pull your credit?

Also, if you choose to confirm a financing offer, there will be no hard check on your credit and no effect on your score! If you apply for more loans with Affirm, they may perform additional 'soft' credit checks to ensure that they offer you the best financing options possible.

Does a company ever hire you after rejecting you?

If the first candidate does not pass the employment verification process, there is a chance you could receive an offer after the rejection letter. Again, this is a component of an organization's process. Ideally, a background check is completed before a candidate starts in the position.

Can a company withdraw a job offer after accepting?

Rescinding a job offer is generally legal. However, things can get complicated legally if the candidate can prove they've experienced economic damage or emotional harm because you took back your offer. Promissory estoppel: In cases where the candidate has made a significant life change based on the job offer.

Is it illegal to accept a job offer and then decline?

In most cases, you won't break any laws by changing your mind after you accept a job. This is because most U.S. states have at-will employment, which means that either you or the employer are free to change your mind at any time.

Can you go to jail for low credit score?

You cannot be arrested or go to jail simply for having unpaid debt. In rare cases, if a debt collector sues you and you don't respond or appear in court, that could lead to arrest.

What happens if your credit score is below 500?

‍Poor (300-579): A 500 credit score falls within this range, indicating a higher likelihood of defaulting on loans and struggling with making timely payments.

Is being denied credit against the law?

It is illegal to:

Refuse you credit if you qualify for it. Discourage you from applying for credit. Offer you credit on terms that are less favorable, like a higher interest rate, than terms offered to someone with similar qualifications. Close your account.

How can I raise my credit score 100 points overnight?

10 Ways to Boost Your Credit Score
  1. Review Your Credit Report. ...
  2. Pay Your Bills on Time. ...
  3. Ask for Late Payment Forgiveness. ...
  4. Keep Credit Card Balances Low. ...
  5. Keep Old Credit Cards Active. ...
  6. Become an Authorized User. ...
  7. Consider a Credit Builder Loan. ...
  8. Take Out a Secured Credit Card.

How to erase bad credit?

How to remove negative items from your credit report yourself
  1. Get a free copy of your credit report. ...
  2. File a dispute with the credit reporting agency. ...
  3. File a dispute directly with the creditor. ...
  4. Review the claim results. ...
  5. Hire a credit repair service. ...
  6. Send a request for “goodwill deletion” ...
  7. Work with a credit counseling agency.

Is a 900 credit score possible?

What is the highest credit score possible? To start off: No, it's not possible to have a 900 credit score in the United States. In some countries that use other models, like Canada, people could have a score of 900. The current scoring models in the U.S. have a maximum of 850.