Background Screening Apps May Violate FCRA, FTC Warns

Feb. 7, 2012, 5:00 AM UTC

Several mobile application marketers must determine whether their background screening apps are being used for purposes that would require compliance with the Fair Credit Reporting Act, according to a Feb. 6 Federal Trade Commission statement.

The agency sent letters to marketers of six background screening apps indicating that, if the reports they provide are being used during screening for “employment, housing, credit, or other similar purposes,” they must comply with the Fair Credit Reporting Act.

The commission indicated that “some of the apps include criminal record histories, which bear on an individual’s character and general reputation and are precisely the ...

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