Sen. Warren proposes credit legislation

WASHINGTON – Sen. Elizabeth Warren, D-Mass., proposed legislation Dec. 17 to prevent companies from using a person’s credit history when considering employment, according to The Hill.
“A bad credit rating is far more often the result of unexpected medical costs, unemployment, economic downturns or other bad breaks than it is a reflection on an individual’s character or abilities,” Warren said. “Families have not fully recovered from the 2008 financial crisis and too many Americans are still searching for jobs.”
Warren’s proposed Equal Employment for All Act is an amendment to the Fair Credit Reporting Act. The proposed legislation prevents prospective employers from using consumer credit reports in hiring decisions. It also prohibits companies from using credit checks as a element in making decision about current employees.
“This is about basic fairness – let people compete on the merits, not on whether they already have enough money to pay all their bills,” said Warren.