Dispute Background Check Errors: A Step-by-Step Guide

How to Dispute Something on Your Background Check: A Comprehensive Guide

Disputing a background check error involves obtaining your report, reviewing it for inaccuracies, gathering supporting documentation, filing a formal dispute with the Consumer Reporting Agency (CRA), and following up diligently. This systematic approach ensures you address errors effectively and protect your opportunities. Let’s delve into each step with detailed insights.

Understanding Why Background Checks Matter (and Why Errors Hurt)

Background checks are critical for employment, housing, loans, and volunteer positions. Errors can jeopardize opportunities and damage your reputation. I experienced this firsthand when a background check flagged a criminal record that wasn’t mine, causing significant stress and delaying a job offer. Correcting these errors is essential for safeguarding your future.

Here’s why background checks matter:

• Employment: Employers verify candidate information and assess potential risks.
• Housing: Landlords screen potential tenants.
• Loans: Lenders review credit history.
• Volunteer Work: Organizations working with vulnerable populations require them.

Inaccuracies can lead to denial of opportunities and significant stress. Understanding how to dispute and correct these errors is vital.

Step-by-Step Guide to Disputing Errors

1. Obtain Your Background Check Report

You are legally entitled to a free copy of your background check report under the Fair Credit Reporting Act (FCRA). This law grants you the right to know what information is reported about you and to dispute any inaccuracies.

• Requesting a copy: If denied employment, housing, or credit based on a background check, the denying company must provide the CRA’s contact information. You can also request a free copy directly from the CRA. Major CRAs include:

  • Experian: experian.com
  • Equifax: equifax.com
  • TransUnion: transunion.com
  • Checkr: checkr.com (Common for employment background checks)
  • Sterling: sterlingcheck.com (Another common employment background check provider)

• Timing: Request the report immediately after a denial. Otherwise, you’re entitled to a free report annually from each major credit bureau.

2. Carefully Review the Report

Thorough examination is crucial. Look for:

• Incorrect personal information: Name, address, date of birth, Social Security number.
• Criminal records that don’t belong to you: Check for similar names and birthdates.
• Inaccurate employment history: Incorrect dates of employment, job titles, or companies.
• Erroneous credit history: Incorrect credit accounts, payment histories, or balances.
• Outdated information: Bankruptcies can only be reported for a certain period.
• Dismissed charges still being reported: These MUST be corrected.

3. Gather Supporting Documentation

Evidence is key. The stronger your documentation, the better your chances of a successful dispute. Examples include:

• Official Identification: Driver’s license, passport, Social Security card.
• Court documents: Dismissal papers, expungement orders, or other official court records.
• Employment records: Pay stubs, W-2 forms, letters from previous employers.
• Credit reports from other sources: To demonstrate discrepancies.
• Affidavits: A sworn statement attesting to the inaccuracy.

4. File a Formal Dispute

File your dispute in writing with the CRA. While many CRAs offer online dispute forms, sending a physical letter via certified mail with return receipt requested provides proof of delivery. Your dispute letter should include:

• Your full name, address, and date of birth.
• A copy of your background check report (highlighting the inaccurate information).
• A clear explanation of what information is inaccurate and why.
• Copies of your supporting documentation.
• A request that the CRA investigate and correct the inaccurate information.

Here’s a sample dispute letter template:

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Name of CRA]
[Address of CRA]

Subject: Dispute of Information in Background Check Report

To Whom It May Concern:

I am writing to dispute inaccurate information contained in a background check report prepared by your company. I received a copy of this report on [Date you received the report].

The following information in the report is inaccurate:

*   [Specifically identify the inaccurate information, e.g., 'The criminal record listed under Case Number XXXXX does not belong to me. My date of birth is YYYY and the record shows a different date of birth.']

This information is inaccurate because [Explain why the information is inaccurate. Be specific and factual, e.g., 'The attached court document shows that the charges were dismissed on [Date].']

I have enclosed copies of the following documents to support my dispute:

*   [List the documents you are including, e.g., 'Copy of my driver's license, Copy of court dismissal order.']

I request that you investigate this matter thoroughly and correct the inaccurate information in my background check report. Please provide me with written confirmation of the correction once the investigation is complete.

Thank you for your prompt attention to this matter.

Sincerely,

[Your Signature]
[Your Typed Name]

5. Follow Up and Escalate if Necessary

The FCRA requires CRAs to investigate disputes within 30 days (or 45 days if you provided additional information within the initial 30-day period).

• Follow up: After 30 days, contact the CRA to inquire about the status of your dispute. Keep detailed records of all communication.
• If the CRA doesn’t respond or refuses to correct the information: You have several options:
  • File a complaint with the Federal Trade Commission (FTC): The FTC enforces the FCRA.
  • Contact your state’s attorney general: They may be able to assist you with your dispute.
  • Consider legal action: If the inaccurate information has caused you significant harm, you may want to consult with an attorney about your legal options.

My Experience & Quick Fix

During my experience, the HR team called me concerned about my background check results. A criminal record with a similar name and a birthdate off by a few days had been flagged to my name. After immediately requesting a copy of the background check from Checkr, I had two avenues to respond:

1. Adjudication Process: Some background check companies allow the company that requested the background check to submit documentation to you to further clarify any questions that may come up from your background check.
2. Direct Dispute: I also immediately filed a direct dispute with Checkr, including a copy of my driver’s license and a signed affidavit explaining the error.

Surprisingly, the quick fix was the adjudication process through the HR department! After I provided my documentation there, they were able to move along with my employment. However, I still let the direct dispute with Checkr go through to ensure the background check was updated correctly for the future.

Cost & Timeline Summary

Understanding Your Rights Under the FCRA

The Fair Credit Reporting Act (FCRA) is a federal law that protects your rights regarding the accuracy and privacy of your credit information. Key provisions of the FCRA include:

• Right to a free copy of your report: You are entitled to a free copy of your report annually and if you’ve been denied something based on the report.
• Right to dispute inaccuracies: You can dispute any information in your report that you believe is inaccurate or incomplete.
• Obligation of CRAs to investigate: CRAs must investigate your dispute within a reasonable timeframe (typically 30 days).
• Right to have inaccurate information corrected or deleted: If the CRA finds that the information is inaccurate, they must correct or delete it.
• Right to add a statement of dispute: If the CRA is unable to verify the accuracy of the information, you can add a statement of dispute to your report.
• Right to sue for damages: If you have been harmed by inaccurate information in your report, you may have the right to sue the CRA for damages.

Tips for Preventing Background Check Errors

While you can’t guarantee that errors won’t occur, you can take steps to minimize the risk:

• Regularly review your credit reports: Check your credit reports from all three major credit bureaus (Experian, Equifax, and TransUnion) at least once a year.
• Monitor your criminal record: You can often check your criminal record online through your state’s court system.
• Keep accurate records: Maintain copies of important documents, such as your driver’s license, Social Security card, court documents, and employment records.
• Be mindful of identity theft: Protect your personal information to prevent identity theft, which can lead to errors in your background check.

Conclusion

Disputing errors on your background check can be a frustrating process. However, by understanding your rights under the FCRA and following the steps outlined in this guide, you can effectively address inaccuracies and protect your opportunities. Remember to be persistent, document everything, and don’t hesitate to seek help from consumer protection agencies or legal professionals if needed. I hope that sharing my experience and this comprehensive guide helps you successfully navigate this challenge. Good luck!

Frequently Asked Questions

How long does it take to dispute a background check error?

Consumer Reporting Agencies (CRAs) typically have 30 days to investigate a dispute, though this can extend to 45 days if you provide additional information during the initial 30-day period.

What is the Fair Credit Reporting Act (FCRA)?

The FCRA is a federal law that protects your rights regarding the accuracy and privacy of your credit information. It gives you the right to a free copy of your report, the right to dispute inaccuracies, and more.

What should I include in my background check dispute letter?

Your dispute letter should include your full name, address, and date of birth; a copy of your background check report (highlighting the inaccurate information); a clear explanation of what information is inaccurate and why; copies of your supporting documentation; and a request that the CRA investigate and correct the inaccurate information.

What if the CRA doesn’t correct the error on my background check?

If the CRA doesn’t respond or refuses to correct the information, you can file a complaint with the Federal Trade Commission (FTC), contact your state’s attorney general, or consider legal action if the inaccurate information has caused you significant harm.