The financial services industry is overloaded with laws and restrictions that govern the background check process that too often undergo unwanted change. Financial / Banking employers are required to review their background check practices regularly to make sure they are up to date with the everchanging hiring protocol. Unlike many other industries the financial industry and banking sector have formalized guidelines to follow.
Some Federal Rules Banks Need to Follow:
Fair Credit Reporting Act
The Fair Credit Reporting Act is a federal law that details how background check information can be collected, provided, and used.
Federal Deposit Insurance Act
Section 19 prohibits the hiring of individuals convicted of certain criminal offenses as well as provides guidance on a multitude of important screening types, practices, and procedures.
Equal Employment Opportunity Act
Guidance for avoiding discrimination in employment screening
FINRA (Broker Check)
This is a free tool that helps you research the professional backgrounds of brokers and advisers.
Here are Background Check Types Most Common for Banks
Criminal Records
- County/State
- Federal
- National Crime Screen
Registries
- Financial Sanctions Search
- Sex Offender Registry
- Terrorist Watchlist Search
Verifications
- Employment
- Education
- Professional References
- Professional License Verifications
Other
- Civil Records
- Credit Reports
- Social Security Checks
- Drug Screens
How Can CompuFACT Help Me?
CompuFACT’s knowledgeable professionals offers over twenty-six years of human resources expertise to share with you. We would like to help you better understand the laws that govern the background check industry and possible suggest background check types that are best suited for your needs. We also have extensive knowledge of human resources software integrations which can help you streamline your payroll, ATS or HRIS into one simple flow.
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