Types of Background Checks: Complete Guide to Background Screening
Not all background checks are the same. From criminal records to credit history, from employment verification to social media screening—understanding the different types of background checks helps you choose the right investigation for your specific needs.
📌 Key Takeaways
- Different situations require different types of background checks
- Criminal checks search court records; scope affects what’s found
- Employment and education verification confirm claimed credentials
- Credit checks require permissible purpose under FCRA
- Comprehensive screening combines multiple check types
- Professional services ensure legal compliance and accurate results
📑 Table of Contents
🔍 Background Check Overview
What is a background check? A background check is investigation into a person’s history to verify their identity, qualifications, and character. Different types of checks examine different aspects: criminal history, employment record, education credentials, financial responsibility, driving record, and more.
The type of background check you need depends on your purpose. Hiring an employee? You might check criminal history, verify employment, and confirm education. Screening a tenant? Credit, eviction history, and criminal records matter most. Conducting due diligence on a business partner? You need comprehensive investigation across multiple areas.
⚖️ Criminal Background Checks
Criminal background checks are the most common type, searching court records for criminal convictions and other legal history.
What Criminal Checks Reveal
- Felony convictions: Serious crimes like assault, theft over threshold amounts, drug trafficking
- Misdemeanor convictions: Lesser offenses like petty theft, simple assault, DUI
- Pending charges: Cases not yet resolved
- Sex offender registry: Required registration status
- Arrests (varies): Some states allow; others prohibit reporting arrests without conviction
Types of Criminal Searches
| Search Type | What It Covers | Limitations |
|---|---|---|
| County Court Search | Criminal records in specific county | Only catches crimes prosecuted in that county |
| Statewide Search | State criminal records repository | Completeness varies by state; some lag behind |
| Federal Court Search | Federal crimes (tax fraud, immigration, etc.) | Doesn’t include state/local crimes |
| Multi-State Database | Aggregated records from multiple states | May miss recent records; needs verification |
| National Database | Compiled from various sources nationwide | Not comprehensive; good for screening, not definitive |
💡 No Single “National” Criminal Database
Despite what some services advertise, there’s no single comprehensive national criminal database. Each county and state maintains its own records. “National” database searches aggregate available data but miss many records. Thorough criminal checks search county courts where the person has lived.
Criminal Check Considerations
Lookback periods: Many states limit how far back criminal records can be reported for employment purposes—commonly 7 years. California, for example, limits most criminal record reporting to 7 years under the Investigative Consumer Reporting Agencies Act.
Fair hiring laws: “Ban the box” laws in many jurisdictions restrict when employers can ask about criminal history. HUD guidance warns against blanket policies that may have discriminatory effects.
💼 Employment Verification
Employment verification confirms that a person actually worked where they claim, when they claim, in the position they claim. Given that roughly 30% of resumes contain fabrications, verification is essential.
What Employment Verification Covers
- Dates of employment: Start and end dates
- Position/title: Actual job title held
- Salary (sometimes): If disclosed by employer
- Reason for leaving: Voluntary, layoff, termination
- Eligibility for rehire: Important indicator
Common Employment Falsifications
| Falsification Type | Example | How Verification Catches It |
|---|---|---|
| Inflated titles | Claiming “VP” when actually “Associate” | Employer confirms actual title |
| Extended dates | Adding months to cover employment gaps | Employer confirms actual dates |
| Fabricated employment | Listing job that never existed | Company has no record of person |
| Hidden terminations | Claiming layoff when actually fired | Employer indicates termination/ineligible for rehire |
🎓 Education Verification
Education verification confirms degrees, certifications, and academic credentials claimed by an individual.
What Education Verification Confirms
- Degree earned: Actual degree type (BA, BS, MBA, etc.)
- Field of study: Major/concentration
- Graduation date: When degree was conferred
- Attendance dates: Enrollment period
- Honors/distinctions: Cum laude, etc.
Common Education Fraud
- Diploma mills: Fake schools that sell degrees without real coursework
- Claiming incomplete degrees: “Attended” vs. “Graduated”
- Degree embellishment: BA claimed as MBA
- Fabricated institutions: Schools that don’t exist
⚠️ Diploma Mills Are Real
Hundreds of diploma mills sell fake degrees online. Some have impressive-sounding names designed to confuse verification. Always verify education through official school registrar offices or the National Student Clearinghouse—not websites or documents provided by the candidate.
💳 Credit Checks
Credit checks reveal financial history and responsibility. They’re commonly used for employment (especially financial positions), tenant screening, and lending decisions.
What Credit Checks Show
- Credit score: FICO or other scoring model
- Payment history: On-time vs. late payments
- Outstanding debt: Credit cards, loans, etc.
- Collections: Accounts sent to collection
- Bankruptcies: Chapter 7, 11, 13 filings
- Public records: Liens, judgments
⚖️ FCRA Requirements for Credit Checks
The Fair Credit Reporting Act strictly regulates credit checks. You must have a “permissible purpose” (employment, credit, tenancy) and obtain written consent before pulling credit. If you take adverse action based on credit, you must provide an adverse action notice.
📋 Other Background Check Types
Driving Record (MVR)
Motor Vehicle Report showing licenses, violations, accidents, suspensions. Essential for positions involving driving.
Professional License Verification
Confirms licenses are valid and in good standing. Reveals disciplinary actions. Critical for licensed professionals.
Reference Checks
Interviews with former supervisors, colleagues, or personal references. Provides context beyond records.
Social Media Screening
Reviews public social media for concerning content, behavior, or misrepresentation. Growing in use.
Drug Screening
Tests for presence of controlled substances. Common in safety-sensitive industries. Various testing methods available.
Security Clearance Checks
Federal background investigation for government/contractor positions requiring clearance. Extensive and time-consuming.
Civil Court Searches
Civil court searches reveal lawsuits—as plaintiff or defendant. Useful for due diligence, showing patterns of disputes, contract breaches, or litigation history.
Asset Searches
Asset searches identify property ownership, business interests, and financial holdings. Used for pre-litigation assessment, divorce proceedings, and judgment collection.
🎯 Choosing the Right Background Check
By Purpose
| Purpose | Recommended Checks | Why |
|---|---|---|
| Employment (general) | Criminal, employment verification, education verification | Verify qualifications, assess risk |
| Employment (financial) | Above + credit check | Financial responsibility for money-handling roles |
| Employment (driving) | Above + MVR | Driving record essential for driving positions |
| Tenant screening | Credit, criminal, eviction, employment/income | Assess ability to pay, property care, safety |
| Business partner | Comprehensive: criminal, civil, corporate, assets, media | Full picture before partnership |
| Investment due diligence | Comprehensive + SEC records | Assess fraud risk |
By Risk Level
- Low-stakes decisions: Basic criminal check may suffice
- Medium-stakes: Criminal + verification of claimed credentials
- High-stakes: Comprehensive investigation across multiple areas
💡 Don’t Cheap Out on Important Decisions
A $50 background check is fine for basic screening. But when hiring executives, entering partnerships, or making major investments, comprehensive investigation costing $500-2,000 is cheap insurance against potentially catastrophic losses.
❓ Frequently Asked Questions
Common types include: criminal background checks (searching court records for convictions), employment verification (confirming job history), education verification (confirming degrees), credit checks (reviewing financial history), driving record checks (MVR), professional license verification, reference checks, and social media screening. The appropriate type depends on your purpose—employment screening, tenant screening, due diligence, or personal investigation.
Criminal background checks reveal felony and misdemeanor convictions, pending charges, sex offender registry status, and sometimes dismissed cases or arrests (depending on jurisdiction). They search court records at county, state, and/or federal levels depending on the scope ordered. What’s included varies by state law and how far back records are reported.
This varies by check type and jurisdiction. Criminal records: typically 7-10 years in most states, though some allow unlimited lookback. Employment history: commonly 7-10 years. Credit reports: 7 years for most items, 10 years for bankruptcy. Some states like California limit most record reporting to 7 years. Check your state’s specific laws.
For employment and tenant screening using consumer reporting agencies, yes—the Fair Credit Reporting Act requires written consent before obtaining consumer reports. For personal due diligence using only public records, consent typically isn’t required, though using information to harass or stalk is illegal regardless. Professional services ensure legal compliance.
Costs vary by type and depth. Basic criminal checks: $20-50. Comprehensive employment screening: $50-150. Full due diligence investigations: $200-2,000+. Tenant screening: $25-50. The appropriate investment depends on the stakes—hiring a CFO warrants more thorough investigation than entry-level positions.
Timeline varies by check type. Database-only criminal searches: often same-day. County court searches: 1-3 business days. Employment/education verification: 2-5 business days (depends on response from past employers/schools). Comprehensive investigations: 1-2 weeks. Rush services available at additional cost.
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