In today's world, background checks are a routine part of many significant life events, from applying for a job to securing rental housing. These reports, compiled by tenant screening or background check companies, are designed to provide a comprehensive overview of an individual's history. However, like any data-driven process, they are not immune to errors. Mistakes in your background check report can have serious repercussions, potentially affecting your ability to secure housing, the terms of your lease, and even the cost of rent or your security deposit. It is therefore crucial to understand how to review your report for inaccuracies and, more importantly, how to dispute them effectively.
Mistakes in Your Report Can Hurt You
When you're actively searching for a new place to live, a landlord, property manager, or other housing provider might engage a company to conduct a background check on you and other members of your household. These companies are generally known as tenant background check or tenant screening companies, and the resulting document is referred to as a tenant background check report, resident screening report, or tenant screening report. The information contained within this report carries significant weight; it can influence whether you are approved for rental housing or dictate the specific terms of your lease agreement. Errors in this report can lead to a landlord charging you more for rent, requiring a larger security deposit, or insisting on a co-signer.
Review Your Report for Mistakes
Under federal law, companies that compile tenant background check reports are legally obligated to take reasonable steps to ensure the accuracy of the information they provide. Despite these regulations, your report may still contain incorrect details. Typically, you might only become aware of negative information in your report when a landlord informs you of a negative decision regarding your housing application, based on the findings of your background check. This notification is formally known as an “adverse action” notice.
The landlord can deliver this notice in writing, electronically, or verbally. Regardless of the method, the notice must always include the name, address, and phone number of the company that supplied the background check report. Crucially, it must also inform you of your right to obtain a free copy of your report (within 60 days of receiving the notice) and your right to dispute any mistakes found within it. If you receive the notice orally, it is advisable to ask the landlord if they would be willing to provide a written copy for your personal records.
If you receive an adverse action notice, your immediate next step should be to obtain a copy of your background check report. You can ask the landlord if they are willing to share the report with you, or you can contact the background check company directly within the 60-day window to request your complimentary copy.
Once you have your report, it is imperative to review it meticulously. You need to confirm that all the information presented actually belongs to you, is accurate, and is up-to-date. Pay close attention to the following details:
- Is Your Identifying Information Correct? Begin by verifying that your first name, middle name, last name, date of birth, current address, and Social Security number are all accurate as listed. Even minor discrepancies here can lead to mistaken identity.
- Are Criminal Court Records Yours? Carefully check that any criminal court records listed on your report genuinely pertain to you. Ensure they originate from the correct court and are not mistakenly attributed to someone with a similar name, birth date, or address. Mistaken identity is a frequent cause of errors in background checks, especially for individuals with common names.
- Can Your Criminal Court Records Still Be Reported? If criminal records are listed, confirm that the report contains the most accurate and current information available regarding the charge, the date it occurred, and its disposition (such as dismissal, acquittal, or conviction). It's important to understand the reporting limitations: arrests can generally be reported for seven years from the date of entry or until the statute of limitations expires, whichever period is longer. Criminal convictions, however, typically have no time limit for reporting. Furthermore, any records that have been sealed or expunged by a court should not appear on any background check report.
- Do the Credit Accounts and Debts in Your Credit Report Belong to You? If your report includes credit information, verify that all listed accounts and debts are indeed yours. Also, check that they are not too old to be legally reported. Most negative information, such as late payments or defaults, cannot be reported after seven years. Bankruptcies have a longer reporting limit of 10 years.
- Are There Other Mistakes? Beyond criminal and financial records, look for other potential errors. For example, are the payment histories accurately reflected? Does the report correctly state the account status, such as open, current, or closed? Do eviction records listed actually belong to you, and are they still within the permissible reporting period? Eviction court cases can typically be reported for up to seven years from the date of the eviction filing, even if you were ultimately not evicted. Similar to criminal records, sealed or expunged eviction records should not appear. It's essential to check if reportable eviction cases reflect the correct and most up-to-date information. For instance, if you reached a settlement with your landlord or paid any outstanding money owed, confirm that this resolution is accurately reported.
- Is Your Rental Payment History Reported Accurately? If there is any negative information regarding your rental payments-such as missed payments or failure to make full payments-ensure that it is indeed your history. If it is, remember that the background check report is generally not allowed to include negative rental history that is more than seven years old.
- Do Any Listed Civil Lawsuits or Bankruptcy Cases Belong to You? As with credit information, verify that any civil lawsuits or bankruptcy cases listed are yours and that they are not too old to be reported. Civil cases typically have a reporting limit of seven years, and bankruptcy cases can be reported for 10 years. Confirm that the information about these cases, including their outcome or current status, is correct.
How To Correct Mistakes in Your Report
If you identify any inaccuracies, outdated information, or records that do not belong to you, you have the legal right to dispute them.
Dispute the Information with the Background Check Report Company
Your primary recourse is to dispute the inaccurate information directly with the company that compiled your background check report. Under the law, these companies are required to conduct a reasonable investigation into the information you dispute.
When submitting your dispute, clearly describe the issue and provide copies of any supporting documents that validate your claim. Providing as much detailed information as possible can help the company process your dispute more efficiently and prevent delays. If you initially contact the company by phone, it is highly recommended to follow up your conversation in writing to maintain a clear record of your communication.
It is also a good practice to inform the landlord who ordered the background check about the dispute you have filed. Generally, the background check company must investigate your dispute and inform you of the results within 30 days. In certain circumstances, this timeframe may be extended to 45 days, and some states may impose even shorter deadlines.
If the background check company determines that the disputed information is indeed inaccurate, incomplete, or cannot be reliably confirmed, they are obligated to delete or correct the information. Once a correction is made to your report, you should request a copy of the updated report and ask the background check company to notify the landlord or the party who originally received the report.
Dispute Mistakes with Creditors
If your background check report contains incorrect information related to money you owe, such as a missed student loan or credit card payment, or if it inaccurately reflects your rental payment history, you should contact the creditor or the person to whom you owed the money. Inform them that the information they reported about you was erroneous.
Provide any relevant paperwork, such as payment receipts or bank statements, to demonstrate that you made the correct payment when it was due. If the information they reported was indeed wrong, they are required to report these corrections to any background check company or other consumer reporting agency to which they initially provided the incorrect information. For more in-depth guidance on disputing errors on financial reports, you can refer to resources like "Disputing Errors on Your Credit Reports."
Correct Mistakes with the Courts
Inaccurate information can sometimes originate from court records. If you have had previous involvement with a criminal, civil, or housing court, there might be errors in the court's records that are reflected in your background check. For example, a housing court might have dismissed an eviction case filed against you, but the records could erroneously state that you were evicted.
If you settled the case with the landlord or paid any money you owed, you may be able to submit proof of this resolution to the court. It can be beneficial to ask your former landlord to submit updated or corrected information to the court, along with a formal request for the court to update or correct its records. Submitting such a request in writing can increase the likelihood of cooperation. Once the court corrects its records, be sure to inform the background check company.
You can also directly contact the relevant courts to request that they correct the information and supply any supporting documents you possess. Many courts offer local self-help centers that can provide assistance in cleaning up your record. This assistance might include filing motions to vacate a judgment (which means to legally overturn or reverse a court ruling), to mark judgments as satisfied (indicating that you have paid all amounts owed), or to seal your records so they can no longer be reported.
Resources like the National Center for State Courts’ directory can help you locate courts in every state. Additionally, your state’s court website often features a “Help” or “Self-Help” section with more information on correcting records.
If your local court lacks a self-help center, consider reaching out to your local legal aid office. These offices can discuss your options for correcting or updating information. Organizations like the Legal Services Corporation (LSC) fund free or low-cost legal services, and their directory can help you find a provider near you. Law Help, a program of Pro Bono Net, also aims to help individuals understand their rights and connect with legal assistance in their local community.
If you are considering hiring a private attorney, the American Bar Association’s directory of state bar associations can be a helpful resource. Some state bars provide services to assist individuals in finding a licensed private lawyer in that state.
After the court has corrected the information, remember to inform both the background check company and the landlord about these updates.
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If the Investigation Doesn’t Resolve Your Dispute
In instances where the investigation does not fully resolve your dispute, or if you remain unsatisfied with the outcome, you have the right to request that a statement of the dispute be included in your file and in any future reports generated about you. You can also request that the background check company provide your statement, or a summary of it, to anyone who received a copy of your report within the last six months. Be aware that the background check company may charge a fee for this service.
Getting Help
Your local city or state government may offer additional legal protections that can assist you in cases of inaccurate or discriminatory tenant background checks and screening. It is advisable to consult with an expert who is knowledgeable about the laws in your area. This could be your local fair housing organization, your state’s attorney general’s office, a local legal aid or legal services office, or another local attorney specializing in consumer rights.
Report to the FTC
The Federal Trade Commission (FTC) is the federal agency responsible for protecting consumers. The FTC wants to be informed if a background check company has provided a report containing inaccurate or outdated information to a landlord, if they failed to investigate your dispute properly, or if a landlord did not provide you with a proper adverse action notice. If you have experienced any of these issues, you can submit a report to the FTC. You can file a report in English at ReportFraud.ftc.gov or in Spanish at ReporteFraude.ftc.gov. To submit a report in other languages, you can call (877) 382-4357 and press 3 to speak with an interpreter who can assist you in your preferred language.
Understanding the Types of Errors
Mistaken identity is a common issue where someone with a name similar to yours has their information mistakenly included on your report. This can lead to confusion and potentially serious consequences. Outdated information, such as previous addresses, old job positions, or past criminal records that were expunged or pardoned, can also appear. Data entry mistakes, like a misspelled name, wrong date of birth, or inaccurate employment dates, are another source of error. If you have been a victim of identity theft, your background check might contain criminal records or financial activities that are not yours, requiring immediate attention. Mixed files, where information from someone else's file ends up in your report due to imperfect storage systems, can also affect your results.
Taking Action: Steps to Challenge Inaccurate Information
The first step in challenging inaccuracies is to request a copy of your background check. Under the Fair Credit Reporting Act (FCRA), you are entitled to one free report every 12 months from each of the nationwide consumer reporting agencies. Once you have your report, carefully review all details, including personal information, employment history, education, and any criminal records. Make a precise list of any discrepancies you find, noting incorrect dates, names, and other specific details. Cross-check this information with your own records to verify the errors.
The next step is to file a formal dispute with the company that provided the report, clearly stating the inaccuracies and providing supporting documentation. Most companies have specific procedures for handling disputes. Follow up on your dispute if you do not receive a response within 30 days, and keep records of all correspondence. If the error originates from a specific source, such as a court or former employer, contact them directly to correct the information. If the background check company fails to correct the errors, consider consulting with a consumer protection attorney.
Know Your Rights: Legal Protections for Consumers
The FCRA provides essential protections. You have the right to be notified if information in your file is used against you (adverse action). You also have the right to access your report and to dispute incomplete or inaccurate information. Reporting agencies must investigate your claims and correct or delete inaccurate, incomplete, or unverifiable information within 30 days. There are also time limits on how long negative information can be reported, typically seven years for most negative information and 10 years for bankruptcies. Some states offer additional protections beyond the FCRA, further safeguarding your rights.
Tech Solutions for Accurate Background Checks
Technological advancements are increasingly being used to improve the accuracy of background checks. Artificial intelligence and machine learning can enhance data accuracy by identifying inconsistencies. Blockchain technology offers transparency and security, making unauthorized changes more difficult. Some services now provide real-time updates, ensuring you are always aware of changes to your record. Additionally, user-friendly online platforms and apps are making it easier to file disputes and track their progress.
Don't Give Up: Fighting Back Against False Records
Facing inaccuracies on your background check can be daunting, but persistence is key. Stay organized by creating a file for all related paperwork and correspondence. Be patient, as the dispute process can take time, and follow up regularly. Do not hesitate to seek support from consumer protection agencies or legal professionals if you encounter challenges. Each experience can teach you more about the process, empowering you to navigate future situations more effectively.