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What to Expect if an Applicant Disputes a Background Check

March 21, 2017

It doesn't happen often, but now and then an applicant disputes the results of their background check. This occurs after they receive a pre-adverse notice.

Here's what to expect if one of your applicants initiates a dispute with us.

It Begins with Pre-Adverse Notification

As you go through the hiring process, you watch for candidates who seem to be properly qualified for an open position. You read resumes, conduct interviews and run background checks. After reviewing an applicant's background report, you may believe the person is ineligible for hire.

It is important to note that you cannot immediately rescind a provisional job offer. You must first issue a pre-adverse notice to inform the applicant that an adverse action is being considered but has not yet begun. Along with this notification, the applicant must also receive a copy of their background report and a Summary of Their Rights Under the Fair Credit Reporting Act. The applicant must then have time to review these documents.

The Dispute Process

After reviewing their background report, an applicant could decide they have a reason to dispute the results. He or she may believe that some of the data on their report is about another person or that the report contains information which cannot legally be used to make a hiring decision.

The applicant must initiate a dispute with us. We will ask the person for written authorization to perform a reinvestigation and a copy of their driver's license or another form of identification. We'll also ask the applicant to explain why they are filing a dispute and collect any other information we need.

Our Role

Once we have the required documentation and permission, we research the dispute to ensure it is valid. If it is, we'll notify you immediately and start an official reinvestigation. The FCRA allows up to 30 days to complete this process, but our team usually resolves disputes within two to three business days. There are two likely outcomes:

  1. The applicant was incorrect and the background check was factual. When that happens we will inform you immediately and you may proceed accordingly.
  2. We determine the background check has invalid or non-reportable information. After the erroneous data has been revised, we will run a new background check for the applicant.

When we determine that a criminal record or another document was incorrect, we look up which court or public records source provided the data. Then we inform the applicant so he or she can take steps to resolve that issue. Backgrounds Online does not create or maintain these records, so we are not able to update them in any way.

Your Responsibilities During a Dispute

If one of your applicants files a dispute, your business may not make employment related decisions about that person while it is in progress. Should you find yourself in this situation, you may wish to seek advice from your legal counsel on the best way to proceed. Backgrounds Online manages the dispute process for our customers, but we are not able to provide any legal guidance or recommendations.

When we're dealing with a dispute, we keep our customers informed about the progress so they know what to expect. Our team provides ongoing assistance to all of our valued customers. If you have questions about disputes or anything related to background screening, please contact us.

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