19 October

Credit Report FAQ: What is a Credit Score?

eeCheckBackground Check FAQ

Credit Report FAQ: What is a Credit Score?

Credit score is a dynamic number calculated by different credit bureaus utilizing their own algorithm that reflect your current credit standing based on your credit history. This might include your current outstanding payment, payment history and credit inquiry history. While the concept is similar, the information contained in the credit report varies across different countries and credit bureaus which in turn affect the algorithm of the credit score calculation.As an example, below is how TransUnion’s credit score calculated in the United States:

  • Payment history: 40%
  • Credit utilization: 20%
  • Length of credit history: 21%
  • Total amount of recently reported balances: 11%
  • New credit accounts are responsible for 5%

Source: TransUnion LLC. – https://www.transunion.com/credit-scoreDo note that the credit score is just a dynamic changing number that reflect the candidate’s current credit standing and it is likely to be changed overtime. For employment purposes, recruiters should consider different information in the credit report that might be related to the hiring decisions and industry compliance needs allowed by the local labor and privacy laws and regulations.

8 October

Candidate’s Role in Facilitating the Background Check Process

eeCheckBackground Check 101

Candidate’s Role in Facilitating the Background Check Process

This is often a myth that the background check process is solely the responsibility of the employment screening firm. Indeed, this is right and not right. As a trust advisor, our consultants would often take a leading role to ensure all stakeholders are taking part and contributing to a successful background check. However, such stakeholder including the HR department and the candidate would need to be ready for the background check.Below is a brief checklist for candidates:

  • Up-to-date referee contact information.
  • Referees informed for eeCheck and the background check that will take place.
  • Completed consent and authorization documents with clear dates and details.
  • Education certificate or license number for specific institutions and authorities.
  • Identity documents and number.
  • Address proof for some specific background checks.
  • Employment letter or proof for some circumstances.
  • List of previously used names.
  • Candidate’s personal contact information that can be reached in a timely basis.

Do connect with eeCheck today to explore other insights that can be shared with your candidates to improve your employment screening process.

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