Nearly 80% of employers currently use consumer reports in which to base hiring decisions and many are not aware of their responsibilities under the Fair and Accurate Transactions Act (FACT Act) “Red Flag Rules,” which amends the federal Fair Credit Reporting Act. Although the legislation focuses on financial institutions and creditors, the law applies to all users of consumer reports.

The law intends to prevent identity theft by requiring businesses that use consumer reports to establish procedures dealing with “Address Discrepancies.” These companies who obtain consumer reports from a third party verifier, such as a background screening firm, must implement standard procedures to verify the correct address of the applicant or employee if an address discrepancy report is returned by the consumer reporting agency.

Because the law is difficult to interpret, Pre-employ.com is hosting a complimentary webinar with guest speaker Pamela Devata of national labor law firm Seyfarth Shaw to help businesses understand the complexities of the law and how to implement proper procedures to protect the business from liability. The view the free webinar, please visit http://www.pre-employ.com/FACTA.

To view full article on FACTA rules, visit: http://www.pre-employ.com/newsroom/post/What-Your-Company-Needs-to-Know-about-the-New-Red-Flag-Rulese280a6.aspx.

About Pre-employ.com
Pre-employ.com is a national leading background screening firm with corporate offices located in Northern California. A pioneer in web-based background screening technology, Pre-employ.com has grown to a full-service human resourced outsourcing provider, offering: Background Checks and Drug Testing, Job Board and Applicant Tracking System, cost-free Employment and Income Verifications services, I-9 compliance Automation, Unemployment Claims Management, Tax Credits and Incentives Consulting, and W-2 Reporting all under one roof. For more information, please visit: www.pre-employ.com. For media inquiries, please contact dbryant@pre-employ.com or 800-300-1821 ext. 255.

About Seyfarth Shaw LLP
Seyfarth Shaw LLP is a labor law firm with offices located nationwide to assist companies throughout the globe with legal representation and counseling. The firm handles government contracts, commercial litigations, labor & employment, product liability, and much more. To learn more about the unique Seyfarth Shaw approach to legal representation, please visit www.seyfarth.com.