A background check assists the person conducting it to scrutinize the commercial, criminal and sometimes financial records of an individual and ensures that the information provided by the individual is 100% accurate to safeguard your interest from any negative aspects including damage of reputation, loss of income and fraudulent activity.

The main objective of conducting the background check is to ensure that the information provided is accurate and can safeguard the interest of the person conducting the background check against fraudulent activities, income loss or damage to reputation.

Before conducting the background check, it is crucial to adhere to the federal laws of the country where the check is being run so that the applicants and employees are protected against any discrimination. This can be due to discrimination based on color, religion, sex, genetic information (encompassing family medical history, race, origin, and age. These laws provide Equal Employment Opportunity governed by Equal Employment Opportunity Community Community (EEOC).

If the background check is run by a company in business, it needs to be in accordance with Fair Credit Reporting Act (FCRA). The FCRA has been enforced by the Federal Trade Commission (FTC). Before conducting the background checks, it is of paramount importance to check the laws of the state and municipalities where the background check is being run. This is due to the fact that certain states and municipalities in the country where the background check is run have regulatory norms for employee background check.

The background check is run by employers to check the background history of their candidates during the recruitment process. It has been estimated that nearly 40% of resumes contain false or tweaked information. Hence, it is crucial to run background verification checks by employers on potential candidates.