Skip to the main content.
New! Continuous MVR monitoring
Driving record monitoring

Ongoing monitoring of driving records can help employers avoid risk and improve driver safety. Learn about the benefits of adding Verified Credentials' newest solution to your screening strategy.

Read the blog ›

Featured resource

Industry-Trends-Report-01

Learn the latest trends in employment background checks. This report uses real-life usage data to uncover how employers are screening across industries.

Download the full report ›

Verified Credentials is a leading background screening company. Since 1984, we’ve helped validate and secure relationships through the use of our comprehensive screening solutions. We offer a wide variety of background checks, verifications, and innovative screening tools.

Get to know us ›

Accredited background screening solutions

Logo-PBSA-Accreditation-120x98

Our accreditation confirms that our policies, processes, and employee training meet rigorous industry compliance standards.

Learn about our solutions ›

1 min read

Small but Mighty: Rhode Island’s Credit Check Laws

Rhode Island may be the smallest state, but some of its state laws align with some of the nation’s biggest. States like California restrict the use of certain credit information for employment purposes. Some large cities have their own restrictions, like New York City. And as small as it is, the Ocean State has its own laws in place, too. If you do business there, you may have restrictions on using certain “credit report” information when hiring.

How Rhode Island Defines Credit Report

What makes a credit report a credit report varies from state-to-state. Rhode Island defines a “credit report” as any information from a credit bureau about a consumer’s creditworthiness, standing, or capacity used as a factor to determine eligibility for:

  • Credit or insurance purposes;
  • Employment purposes; or
  • Other purposes authorized under the Fair Credit Reporting Act.

Rhode Island’s Disclosure Requirements

So, does Rhode Island have specific employer disclosure requirements regarding applicants who live or work in Rhode Island, before a credit report may be obtained regarding them, as well? If you guessed yes, you got it.

According to state law, anyone who requests a credit report, as defined by Rhode Island law, related to an application for employment must first inform the applicant that such credit report may be requested.

Rhode Island’s requirements go further by addressing adverse action related to such credit reports. If an employer takes adverse action against an applicant based on information in the credit report, it must advise the individual it’s taking adverse action against of this and provide them with the credit bureau’s name and address.

Verified Credentials provides clients with state-specific sample disclosure documents in their Resource Library. The library includes a sample Rhode Island Credit Report Disclosure.  If you’d like to see a sample to reference as you create your own document, log into your Resource Library.

As always, you should discuss your state-specific disclosures with trusted legal counsel to make sure you stay in compliance with applicable laws.

Recent Ruling in Minnesota Shows That Tort Can Apply to Hiring Contractors

When it comes to screening contractors in Minnesota, some organizations may have operated under the belief that they had little or no liability when...

Read More

Clarification on New E-Verify and I-9 Compliance Requirements in Illinois

Illinois first included language addressing the use of E-Verify in the Right to Privacy in the Workplace Act in 2008, with an amendment in 2010....

Read More

Oregon’s Consumer Privacy Act: 110 Complaints Filed in 6 Months

In June 2023, the Oregon Legislature passed Senate Bill 619, also known as the Oregon Consumer Privacy Act (OCPA). The law took effect on July 1,...

Read More

Rhode Island Works to Boost Pay Equality

The topic of salary equality has been prevalent in recent years. As part of this trend, Rhode Island recently passed amendments to its pay equity...

Read More

Louisiana’s Fair Chance Law Goes into Effect

Like New York City, the state of Louisiana now has its own “Fair Chance”-style law. Louisiana Act 406 places new restrictions on employers that...

Read More

U.S. House of Representatives Passes FCRA-Amending Bill: The Comprehensive CREDIT Act of 2020

On January 29, 2020, the United States House of Representatives passed the “Comprehensive Credit Reporting Enhancement, Disclosure, Innovation, and...

Read More