What permission is typically required for an employer to obtain a consumer report for employment decisions under FACT Act?

• A. Written consent from the consumer and a permissible purpose for obtaining the report
• B. Verbal consent from the consumer only
• C. No consent required for employment decisions
• D. Consent from HR manager

Answer: (A)

Under the FACT Act (FCRA), an employer may obtain a consumer report for employment decisions only with the job applicant’s or employee’s written authorization and a permissible purpose for the pull. The written consent protects the individual's privacy and ensures they understand what information will be accessed and for what employment-related reason. A permissible purpose for employment includes actions like hiring, promotion, reassignment, or retention, so the employer’s use must align with those employment decisions. Verbal consent isn’t sufficient, and consent from a manager alone doesn’t satisfy the requirement—the consent must come from the consumer. If the report is used to take adverse action, additional notice requirements apply, but the essential permission is the combination of written consent and a permissible purpose.