Is the FCRA Disclosure required?

Yes. For most employment, tenant, or credit screening that relies on a consumer report, a clear standalone disclosure and signed authorization must be obtained before the report is ordered under the FCRA.

Can the disclosure be signed electronically?

Yes. Electronic signatures are legally acceptable when executed in compliance with the ESIGN Act (15 U.S.C. ch. 96) and applicable state UETA rules, and when consumer consent to electronic delivery is documented for consumer-facing records.

What should the disclosure text include?

It should state unmistakably that a consumer report may be obtained, the specific purpose, and be separate from other documents; include a method to capture the consumer's authorization and date.

How long must I keep the disclosure record?

Retain the disclosure, signed authorization, and evidence of delivery per internal retention policy; industry practice is at least 2–3 years and longer where federal or state law requires it.

What if the consumer disputes the report?

Follow CRA dispute procedures promptly; keep copies of dispute correspondence and any supplemental documentation used to evaluate the dispute and decisions.

Are there additional state requirements?

Possibly. Several states impose extra notice, timing, or content requirements for background checks; review state statutes and local ordinances before finalizing the disclosure.

FCRA Disclosure Form

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

FCRA DISCLOSURE AND AUTHORIZATION

Recitals

WHEREAS, Employer Name: seeks to obtain consumer reports and/or investigative consumer reports for employment purposes as authorized by law; and

WHEREAS, Consumer Name: acknowledges receipt of this disclosure and provides authorization for the procurement of such reports under the Fair Credit Reporting Act.

Disclosure of Intent to Obtain Consumer Report

DISCLOSURE: In connection with your application for employment, promotion, transfer, assignment, retention, or volunteer service, Company named above and its agents may procure consumer reports and investigative consumer reports about you that may contain information bearing on your credit history, character, general reputation, personal characteristics, or mode of living. This disclosure is provided pursuant to the Fair Credit Reporting Act and applicable state law.

Types of reports that may be obtained (check all that apply):

Consumer Credit Report Criminal Background Check Investigative Consumer Report Motor Vehicle Record

Scope of Background Check

The scope of the background check will include the categories indicated above and may include, without limitation, verification of education, employment history, professional credentials, public records, driving records, credit history where job-related, and reference checks. The consumer reporting agency may contact references, current or former employers, and other sources to obtain information.

Scope Details (if additional detail required, describe below)

Applicant Information

Full Legal Name

Date of Birth: Social Security Number (last 4 digits):

Current Address Position Applied For

Authorization and Certification

By signing below, I certify that I have received the disclosure above and I expressly authorize Employer Name and its designated consumer reporting agency to obtain consumer reports and investigative consumer reports about me for employment purposes. I understand that information contained in consumer reports may be used in making an employment decision. I further authorize any person or entity with information relevant to this authorization to disclose such information to the consumer reporting agency and to Employer Name.

I understand that if any adverse action is contemplated based in whole or in part on information contained in a consumer report, I will be provided with a copy of the report and a written description of my rights under applicable law prior to the adverse action.

Applicant Authorization: I authorize the background investigation described above.

Fees and Payment Terms

The employer will pay any fees charged by consumer reporting agencies for reports obtained in connection with this authorization unless otherwise agreed in writing. If the applicant is charged any fee related to the procurement of the report, the amount will be disclosed below.

Report Fee (if charged to applicant) Late Fee (if applicable)

Term and Termination

This authorization is effective on the date signed below and shall remain in effect for a period of months from that date, or until revoked in writing by the applicant. Revocation will take effect only after receipt of written notice by Employer Name and will not affect disclosures made prior to receipt of such notice.

Authorization Start Date Notice Period for Revocation (days)

Confidentiality

All information obtained pursuant to this authorization will be maintained and disclosed only as permitted by law and by the policies of Employer Name. Information will be used solely for employment-related purposes unless otherwise required or permitted by law. Employer Name will take reasonable steps to protect the confidentiality of consumer report information.

Governing Law; Entire Agreement

This Disclosure and Authorization shall be governed by and construed in accordance with the laws of the State of , without regard to its conflict of laws principles. This document constitutes the entire agreement between the parties with respect to the subject matter herein and supersedes all prior understandings and agreements, whether written or oral.

Applicant Certification: I certify that the information I have provided is true and correct to the best of my knowledge. I understand that providing false information may be grounds for refusal to hire or for termination if I am hired.

Applicant Name:

By:

Date:

Employer Representative:

By:

Date:

What the FCRA Disclosure Form Is and when it applies

The FCRA Disclosure Form is a standalone written notice used to disclose to a consumer that a consumer report may be obtained for employment, tenant screening, credit, or insurance underwriting purposes. Under the Fair Credit Reporting Act (FCRA), that disclosure must be clear and conspicuous and separate from other documents; it typically accompanies a consumer authorization/consent form allowing a reporting agency to furnish a report. The disclosure explains the purpose of the check, the consumer reporting agency role, and basic consumer rights related to accuracy and dispute procedures under 15 U.S.C. §1681 et seq.

Why a clear FCRA Disclosure reduces legal risk

A compliant disclosure and properly obtained consumer authorization establish the legal basis for ordering a consumer report and help avoid statutory claims under the FCRA.

Typical organizations and professionals who complete this form

Common users prepare and present an FCRA Disclosure whenever a consumer report is required for a transaction.

Employers and recruiters conducting pre-hire or periodic background checks for applicants or employees.
Landlords and property managers screening prospective tenants using tenant screening consumer reports.
Lenders, insurers, and financial services firms ordering credit or investigative consumer reports for underwriting.

The same parties must retain disclosures and evidence of consent according to applicable retention rules and internal policy.

Who signs and who manages the form

HR Manager

HR managers or hiring managers are typically responsible for delivering the standalone disclosure and collecting signed authorization; they must ensure consent is recorded and that pre-adverse and adverse-action steps follow FCRA procedures.

Property Manager

Property managers or leasing agents present tenant-screening disclosures, collect consent, and retain records of consumer reports and decisions to comply with tenant screening laws and possible local restrictions.

Security, privacy, and compliance elements to include

Encryption: TLS 1.2/1.3 and AES-256 at rest

Audit Trail: Timestamp, IP, signer events

HIPAA: BAA required if PHI involved

ESIGN / UETA: Compliant with federal and state laws

SOC 2: SOC 2 Type II available

Access Controls: Role-based signer authentication

Legal risks and potential statutory claims

FCRA Liability: Civil liability under 15 U.S.C. §1681n

Statutory Damages: Actual and statutory damages possible

Punitive Damages: Available for willful violations

Administrative Fines: Regulatory penalties from CFPB/state AGs

I-9 Exposure: Related I-9 errors carry fines

Privacy Claims: State privacy suits (e.g., CA)

Common mistakes to avoid when preparing the disclosure

Combining the disclosure with other documents or application language so it is not a standalone, clear and conspicuous statement before obtaining the report.
Failing to obtain a signed authorization or relying on a general consent when the law requires a specific, standalone disclosure and signature.
Using ambiguous language that does not state that a consumer report or investigative consumer report may be obtained and used for the stated purpose.
Not preserving evidence of consent, disclosure delivery, or the exact version of the disclosure used at the time the report was ordered.

Step-by-step: Completing an FCRA Disclosure Form

Follow these sequential steps to prepare, present, and record the FCRA Disclosure and obtain valid consumer consent.

01

Prepare disclosure: Use standalone, plain-language disclosure describing report purpose.
02

Provide notice: Deliver the disclosure to the consumer before ordering the report.
03

Obtain signature: Collect written or compliant e-signature and date.
04

Retain records: Store disclosure, consent, and report securely with audit trail.

Where to send or file the completed disclosure

After completion, the disclosure and consent should be delivered to the relevant internal team and the consumer report provider as required by process.

Send to CRA: Provide authorization to the consumer reporting agency when ordering the report.
File internally: Record in HR or leasing file with date and signer identity.
Share with decision maker: Ensure hiring or leasing managers get necessary report access.
Give consumer copy: Provide consumer with a copy on request or as required.

Core components of a professional FCRA Disclosure Form

A complete, defensible disclosure form combines clear language, consumer rights information, and administrative metadata so it can support compliant reporting and adverse-action workflows.

Disclosure Statement

A standalone, plain-language sentence stating that a consumer report may be obtained and the purpose for which it will be used; it must not be buried in other text.

Authorization

A separate consumer authorization block where the signer explicitly consents to a consumer report; must be signed and dated to evidence consent.

Summary of Rights

A brief statement or attachment summarizing consumer rights under the FCRA, including dispute procedures and the consumer reporting agency contact information.

Adverse Action Language

Pre-adverse and adverse-action notice text placeholders so the employer or landlord can document steps and comply with required timing and content.

Identity Verification

Fields to capture legal name, date of birth, and other identifiers used by the reporting agency to match records accurately.

Retention & Audit

Metadata fields for signer IP, timestamp, form version, and retention policy to prove when disclosure and consent occurred.

How to configure the FCRA Disclosure workflow online

Use these common settings when creating a digital FCRA Disclosure workflow to ensure validity, authentication, and recordkeeping.

Field	Configuration
Disclosure Text	Editable plain-language block
Signature Field	Required; supports e-signature and date
Authentication	Email link, SMS code, or KBA
Retention Settings	PDF/A, audit trail, retention period

Digital delivery and technical compatibility

Choose a platform that supports standard document formats, signer authentication, and detailed audit trails for compliance.

File formats: PDF, DOCX, HTML supported
Integrations: Salesforce, NetSuite, Google Workspace
Authentication: Email, SMS, or advanced KBA

Timing essentials: disclosure and adverse-action timing

Certain FCRA-related steps are time-sensitive. The disclosure must precede obtaining the consumer report and adverse-action notices have specific delivery considerations.

Provide disclosure:

Before obtaining the consumer report for the stated purpose.

Pre-adverse action:

Provide pre-adverse notice, report copy, and summary of rights before final adverse decision.

Adverse action:

Deliver final adverse-action notice including CRA contact details and reason.

Consumer requests:

Respond to disputes per CRA timelines after consumer submits dispute.

Record retention:

Retain disclosure and authorization evidence per retention policy.

Key processing milestones from disclosure to decision

This sequential milestone view shows the essential stages and what to document at each step.

01

Prepare disclosure

Draft the standalone disclosure and authorization text before use.

02

Deliver disclosure

Provide the consumer the disclosure and obtain consent prior to ordering the report.

03

Order report

Submit request to CRA after consent is recorded and authenticated.

04

Adverse action

If applicable, issue pre-adverse materials and final adverse-action notice with CRA info.

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Frequently asked questions about the FCRA Disclosure Form

Answers to common practical and compliance questions about disclosures, consent, e-signatures, and recordkeeping.

Need help? Contact support

Is the FCRA Disclosure required?
Yes. For most employment, tenant, or credit screening that relies on a consumer report, a clear standalone disclosure and signed authorization must be obtained before the report is ordered under the FCRA.
Can the disclosure be signed electronically?
Yes. Electronic signatures are legally acceptable when executed in compliance with the ESIGN Act (15 U.S.C. ch. 96) and applicable state UETA rules, and when consumer consent to electronic delivery is documented for consumer-facing records.
What should the disclosure text include?
It should state unmistakably that a consumer report may be obtained, the specific purpose, and be separate from other documents; include a method to capture the consumer's authorization and date.
How long must I keep the disclosure record?
Retain the disclosure, signed authorization, and evidence of delivery per internal retention policy; industry practice is at least 2–3 years and longer where federal or state law requires it.
What if the consumer disputes the report?
Follow CRA dispute procedures promptly; keep copies of dispute correspondence and any supplemental documentation used to evaluate the dispute and decisions.
Are there additional state requirements?
Possibly. Several states impose extra notice, timing, or content requirements for background checks; review state statutes and local ordinances before finalizing the disclosure.

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