Employment background checks involve sensitive information that may include Social Security numbers, criminal records, work history, driving records, and sometimes credit history. A federal law called the Fair Credit Reporting Act is designed to protect this information by laying out rules for employers and the consumer reporting agencies (like ScoutLogic) that produce the background checks. That’s why you’ll often see the phrase “FCRA compliance” in materials from background check companies. FCRA compliance simply means following the requirements set out by the FCRA. These rules are designed to promote accuracy, fairness, and privacy. ScoutLogic background checks are FCRA compliant; unfortunately, not all background checks are. When an employer’s or a background check company’s practices don’t comply with FCRA regulations, they may face lawsuits and penalties.