Practical Law Glossary Item 4-502-8855 (Approx. 3 pages)
Glossary
Fair Credit Reporting Act (FCRA)
A federal law regulating collection, dissemination, and use of consumer information (15 U.S.C. §§ 1681 to 1681x). In the employment context, the FCRA limits an employer's use of employee and applicant information provided by consumer reporting agencies. It creates specific notice, disclosure, and consent requirements, both related to obtaining information and taking adverse action because of that information. For more information on the FCRA and background checks, see Practice Note, Background Checks and References.