If someone checks your credit without you consent, it is important to be aware of your rights as well as the possible consequences. An employer or company that does an unapproved credit check can be sued. You have the right to view your credit report. You should also know how to obtain a copy of your credit report.
You have the right of being protected against credit checks that are not authorized
If you want to stop unauthorized credit checks, you can use a security freeze. A security freeze blocks new credit applications from getting approved, unless you have granted it first. It can also slow down the approval of new credits. A security freeze can protect your identity from theft and is valid for one-year. But you need to use it responsibly. You can't stop all unauthorized credit check.
You have the right to sue an employer or company
NYC employers cannot check your credit score because of a human right law. While this law doesn't prevent employers from doing background checks or conducting other research, it does prohibit them from using credit information to make employment decisions. You can sue your employer if you believe your rights have been violated.
You can access your credit report.
If you are denied credit, the law gives you the right to view your credit report free of charge. This right applies when an entity has taken adverse action against you based on your credit report, such as denying credit, terminating credit, or changing an insurance offer. You will be given the name and contact number of the credit bureau. For those who are not employed or receiving government assistance, free copies of your credit report will be provided.
You have the right to sue an employer if it uses your credit report for hiring purposes without your consent. If you believe the information was false or misleading, you may be able to seek punitive and attorney's costs. However, you should be aware that if you file a lawsuit, you will have to prove that you have been harmed by the unauthorized access.
You have a right to request a copy of your credit report
No matter if you have bad or excellent credit, you can request a copy your credit history from any one the three major credit agencies. You can request a copy from any credit bureau. They must provide all the information that they have at the time you request. You have the right to see the names of all people who have received your credit report in the last year or two. If you are denied a loan, or credit application, the company must provide the name of any credit bureau that denied you.
Your purchasing power, as well as your chances of getting a new job, can be affected by the information on your credit report. Credit bureaus sell this information to businesses for use in loan and insurance decisions. Employers may also use this information to make hiring decisions. You can request a copy of your credit report, but you shouldn't do it unless you have a legitimate purpose. Obtaining a copy of your credit report under false pretenses can result in civil and criminal penalties.