Adverse Action

Adverse Action includes any decision that is unfavorable toward an applicant, employee, consumer or volunteer that is based all or in part on the results of a background screen.

This can include but is not limited to denial of employment, promotion, transfer or raise. It is also when an applicant is denied a rental agreement or special terms to an agreement. The FCRA and several state legislatures require adherence to certain procedures when action is taken.

Key Takeaways:

  • Remain compliant and reduce the chance of Adverse Action litigation
  • Supported by our Choice Screening Compliance Manager
  • Identify and mitigate vulnerabilities

Adverse Action has multiple stages and required paperwork according to federal laws and sometimes state law. How compliant are you?

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Whenever Adverse Action is taken, steps outlined in the FCRA must be followed in order to properly notify the applicant or employee and allow them the opportunity to dispute any inaccuracies.

Keeping up with litigation trends and changing legislation is time consuming and can leave unknown vulnerabilities without expert support. 

Choice Screening helps our clients remain compliant when taking Adverse Action by offering Pre-Adverse Action and Post-Adverse Action services that are routinely audited and overseen by our internal Compliance Manager.

The Adverse Action letters provided by Choice Screening are compliant for general purposes and according to the FCRA. However, certain state and local laws may apply specific to you. Please seek guidance from a licensed and experienced employment attorney to ensure all Adverse Action compliance standards are met.

  • icon-Choice-Screening-SupportChoice Screening Support

  • icon-Simple-to-useSimple to use

  • icon-Required-documents-includedContains all required documents

  • icon-Adverse-Action-LetterAdverse Action Letter

  • icon-FCRA-Summary-of-RightsFCRA Summary of Rights

  • icon-Copy-of-Background-ReportCopy of Background Report

  • icon-Dispute-FormDispute Form


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