Welcome to your go-to guide for all things background checks. We’re about to give you the lowdown in a way that’s easy to digest and (dare we say) fun. If you’re looking to learn more about the basics of background checks, you’re in the right place.
You ready? Let’s jump into the essentials and get you up to speed on why background checks are crucial for your business.
What is a background check?
Starting off easy. A background check is a detailed look into a person’s past to help you make informed decisions about who you’re hiring.
When you request a background check, the provider typically searches through criminal records, driving records, and other sources. They may also verify the candidate’s identity, employment history, education credentials, and more. You get the results so you can decide if they’re a fit for your team.
This way, you know that the candidate meets your requirements before bringing them on board. It’s a peace of mind that helps you sleep like a baby at night.
Why do companies use background checks?
Because hiring a mystery can lead to a mess, right? Companies use background checks for several key reasons.
- Background checks help mitigate risk. By vetting candidates, businesses can avoid potential issues related to criminal history, falsified credentials, or other red flags that might not be apparent from a resume.
- Background checks keep your brand and people safe. Ensuring that new hires have a trustworthy background helps maintain a secure and productive work environment. It also protects the company’s reputation, which can be crucial in building and maintaining customer trust.
- Companies often use background checks for insurance and regulatory reasons. Insurers often require businesses to perform due diligence in their hiring processes to qualify for certain types of coverage or to receive better rates. Similarly, regulatory bodies may mandate background checks to ensure compliance with industry standards and legal requirements.
In essence, background checks provide companies with valuable information to make informed hiring decisions, promoting a safe, reliable, and reputable workplace.
What are the key differences in background checks?
When it comes to background checks, there are several elements to evaluate. Each option serves a different purpose and provides different levels of detail. Here are a few distinctions to be aware of:
- Accredited vs. Unaccredited: It’s crucial to distinguish between checks done by an accredited Consumer Reporting Agency (CRA) and those that aren’t. Accredited CRAs follow strict guidelines to ensure accuracy and compliance with the Fair Credit Reporting Act (FCRA), making their reports reliable and legally sound. Non-accredited sources might not adhere to these standards.
- National vs. County Searches: National database searches give you a 30,000-foot view, pulling information from numerous national sources. However, county courts are the source of truth for most criminal records, therefore county searches provide the most detailed and accurate records.
- Lookback Period: Searches can vary in their lookback period, which determines how far back the check goes into a candidate’s history. There are several states and jurisdictions that actually restrict how far back criminal history can be reported, so watch for that. A seven-year lookback period is the most common in the industry.
- Search Type: Background checks can include various types of history, offering different insights that help you build a complete picture of the candidate’s background. Examples include criminal history, social media screening, motor vehicle checks, and more.
By understanding the different types of background checks and their features, you can choose the right one for your business.
How do I choose the right type of background check?
Background checks aren’t one-size-fits-all, so let’s break it down. Choosing the right background check involves assessing your industry, the role’s risk level, and your budget.
Note: It’s always recommended to consult your legal counsel on the best option for your business.
Here are a few things to consider to help you decide:
Industry and Risk Level
- High-risk industries (e.g., healthcare) usually need the works—premium criminal history checks, drug screenings, and industry-specific checks like healthcare integrity checks in this example—to ensure safety and trustworthiness.
- Medium-risk industries (e.g., transportation/logistics) often combine standard criminal history checks with motor vehicle checks and identity verification (IDV) to balance cost and reliability.
Budget and Volume
- High-volume hiring (e.g. staffing) companies typically run basic background checks that quickly verify criminal history and identity without breaking the bank.
- Cost-conscious companies (e.g. gig/marketplaces) often use basic background checks to keep expenses manageable while still filtering out unsuitable candidates.
Role-Specific Requirements
- High-responsibility positions may need more comprehensive screens to ensure a candidate meets the high requirements for their role.
- Entry-level roles can often be secured with more basic checks, prioritizing speed and essential verifications.
By aligning your background check strategy with your industry’s demands, the specific role, and your budget, you can protect your business while keeping the hiring process efficient. At Yardstik, we have a whole suite of products and a process called Sequential Screening that helps you build the right workflow for your company.
How are background checks run?
For companies using the most modern technology, running background checks has become an easy process. No more dealing with PDFs, printing, or traveling to complete the process. Unlike legacy vendors, modern screening companies like Yardstik make the process easy in your current workflows.
When it comes to having candidates complete a background check, you have options. You can easily invite candidates to complete their checks from the screening platform, or you can integrate the background check process with your existing Applicant Tracking System (ATS) so that they can be invited within your current system.
Candidate experience is also a crucial aspect that often gets overlooked. At Yardstik, we prioritize making the process smooth and hassle-free for candidates, which helps maintain a positive impression of your brand throughout the hiring process. They can submit their background checks securely from their phone or any other device.
Once candidates submit their information, Yardstik processes the data and surfaces the results in a clear, actionable format. This allows your team to make informed decisions quickly. Hard to beat that!
How long do background checks take?
How long background checks take depends on several factors. Here’s the scoop.
- Number of counties. The number of counties that need to be searched is one of the biggest impacts to the speed of a background check. Simpler checks can be nearly instant. As more county searches are required, either due to records being found or the candidate’s address history, the timeline is typically extended. Counties hold the most thorough and reliable data on criminal history, and the ability to access that data varies from county to county. Some counties are excellent at automating, updating their records, and handling requests, while others lag behind. County staffing and state or municipal laws that get enacted impacting what data can be reported can also cause delays.
- Suite of products. The number of screening products you add to your screening process can also extend the turnaround time. But this can also be a good thing. Intentional screens can often cause healthy friction, allowing you to spend your time on the most qualified and ready candidates. In the end, thoroughness helps you protect your company and make the right hires.
The timing of background checks can range from nearly instant to several days. It all depends on the type of check, the number of counties involved, and how efficient those counties are at processing requests.
Are all background check companies basically the same?
Nope, not even close. Here are a few ways providers can stand out:
- Customer Care: The most noticeable difference is in how they care for their customers. Customer service makes a world of difference in this industry. Companies that prioritize customer service provide a much smoother, quicker hiring experience.
- Modern Tech: Not all companies invest equally in their tech game. Those that prioritize cutting-edge technology can provide results more quickly.
- Accreditation: Accreditation is a big deal too. Many companies are not accredited by the Professional Background Screening Association (PBSA). Without this, there’s no guarantee of compliance with industry standards and regulations, which could affect the legality and reliability of the checks.
Choosing a reputable background check provider means ensuring they have proper accreditations, modern tech, and, most importantly, excellent customer care. This ensures that your hiring process is quick, accurate, and compliant with legal standards, providing a solid foundation for making informed hiring decisions.
At Yardstik, you can bet we’re hyper-focused on all three of these. We’re PBSA accredited and we’re constantly innovating and putting customer needs first. Interested in learning more? Talk to sales!