Employment Credit Checks

DENVER – Senate Democrats moved forward with legislation to restrict the use of consumer credit information against potential employees. The proposal passed its first hurdle in a committee Monday night.

Supporters say the use of credit information creates a barrier for people looking for jobs and employers should base hiring decisions on other information.

The bill would require employers who use credit information to give potential employees a chance to explain any adverse information. Employers who take action based on credit information would have to inform job applicants.

Opponents say employers should be able to use all information available.Lawmakers will hear testimony on a bill to prohibit employers from using consumer credit information against potential employees unless they’re applying for a job that involves financial decisions.

The legislation would allow people to pursue civil action if an employer unfairly used their credit information against them.