Are there any laws governing the use of tenant background checks?
Yes, there are certain laws governing the use of tenant background checks in California. The California Civil Code applies to both the tenant and landlord when it comes to renting a property. Landlords are required to use reasonable care when evaluating a tenant’s application and when conducting a tenant background check. This includes verifying income, collecting credit reports, obtaining references, and running a criminal record search. Landlords are legally required to notify potential tenants of their background check policy in writing before the tenant applies. They must also obtain the tenant’s written consent to access the information. Landlords should also be aware that they cannot deny housing based on an applicant’s membership in a protected class (i.e. race, religion, etc.). The Fair Credit Reporting Act (FCRA) also applies to tenant background checks in California. This law governs how landlords obtain, interpret, and use the information gathered. It stipulates that landlords must obtain the tenant’s written consent before obtaining the report and provide a copy of the report to the tenant in the event of a denial. The landlord must also provide a reason for the denial in writing. In short, there are a variety of laws in California governing the use of tenant background checks. Landlords must take reasonable care when evaluating applicants and should always comply with the FCRA and the California Civil Code.
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