Consumerism Commentary - Latest Comments in Calming Facts About Identity Theft

Re: Calming Facts About Identity Theft

Kevin — Thu, 18 Sep 2008 23:21:50 -0000

@Flexo and Jenny: Jenny's got it right. This also applies to Security/Secret/Top Secret clearances. If you have a bankruptcy, foreclosure, or repossession on your credit report from the last 7 years you can kiss getting a clearance goodbye. I've also heard that if you *have* a clearance and run into financial straits, you can lose your clearance (and thus your job).

For other companies, it is seen as a risk that you can't handle your finances, it could happen again, and if it does happen again you are likely to accept bribes or steal from the company to take care of your financial problems.

Re: Calming Facts About Identity Theft

Foobarista — Tue, 16 Sep 2008 14:04:10 -0000

I was recently unemployed (but not anymore) and two different companies wanted my SS to run a credit check. I work in software - and not in anything related to finance - so there's no obvious business reason for the credit check.

Re: Calming Facts About Identity Theft

Jenny — Tue, 16 Sep 2008 13:54:48 -0000

Further to the moral scorecard thing, many employers view a credit score as the likelihood that you, as the candidate, will or won't steal from the company. For example, if you're applying for a job that handles a lot of cash on a daily basis or has access to confidential business info, and you're in financial straits, you have a motive for embezzling or participating in industrial espionage, among other things. For many companies, it's a way to protect against some of the liabilities that hiring employees represents. Indeed, many companies view pulling credit reports as part of their regular background checking routine.

And too, using credit reports in hiring decisions is not a universal practice (at least that I know of, here in the US). Although it's standard practice for companies to request permission to pull your credit report when you apply for a job, not all companies actually do so while they consider hiring you. I think it really depends on the company culture and the industry they're in. Yet another reason to do your research when you consider applying to any particular company.

Re: Calming Facts About Identity Theft

Barb — Tue, 16 Sep 2008 13:40:46 -0000

This is in response to the current "Mary Worth" storyline, isn't it?

Re: Calming Facts About Identity Theft

Harlan Landes — Tue, 16 Sep 2008 13:35:30 -0000

Some jobs in finance require a credit check. Apparently, the employer believes that a lack of personal financial responsibility might be a sign that the candidate won't handle the company's money well if they are in a position to handle it at all. I'm not so sure that there is a connection, but that's the reasoning.

I do agree that the media tends to blow the topic of "identity theft" out of proportion. Also, there's more risk in old-fashioned money handling than there is with online transactions.

Re: Calming Facts About Identity Theft

marissa — Tue, 16 Sep 2008 12:54:44 -0000

Ridiculous as it is, there are some professions that consider credit reports as part of a "moral scorecard" that determines whether to hire (or keep current employees). I know someone who was dismissed from the police force because his credit took a hit.