In March 2024, the Federal Trade Commission (FTC), Consumer Financial Protection Bureau (CFPB), Department of Housing and Urban Development (HUD), and Department of Justice (DOJ) issued joint guidance titled “Tenant Background Checks and Your Rights” to help renters navigate the tenant screening process, according to a Consumer Alert from the FTC.
“Are you looking for a new place to live or about to renew your lease? If so, you may want to know that a landlord, property manager, or other housing provider may ask a tenant background check company — also called a tenant screening company — to put together a report about you and other members of your household,” the joint guidance explains.
“The new publication tells you how tenant background checks work, what kinds of background information a landlord might receive about you, how to respond if you think that information is wrong, and your rights under federal laws — including laws related to tenant background checks and those that outlaw discrimination,” states the FTC Consumer Alert.
“Tenant background checks are usually compiled by tenant background check companies that put together a report on you and the people you live with. The tenant background check report — sometimes called a resident or tenant screening report — may have information about whether you pay your bills, if you’ve been evicted or have a criminal record, and more.”
ClearStar is a global Human Resources technology company that specializes in background checks, drug testing, and occupational health screening. ClearStar also offers a variety of tenant screening services that help protect rental properties and comply with applicable laws and guidance. For more information about ClearStar, please contact us.
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