Does this authorization need a separate consumer disclosure?

Yes. For consumer-facing financial or benefits transactions, federal ESIGN rules require a consumer disclosure of the right to receive paper and the method to withdraw consent; include the required language and a method for the consumer to confirm access.

Can the authorization be signed electronically?

Yes. Electronic signatures are legally valid under the ESIGN Act (15 U.S.C. §7001) and UETA in applicable states, provided intent, consent, attribution, and record retention requirements are met.

How long does authorization remain valid?

Validity depends on the text of the authorization and any applicable state or industry rules; many organizations set an explicit expiration, and revocation procedures should be described in the form.

What if the consumer's name or SSN doesn't match?

Commonly this causes a failed match. Verify spelling, DOB, and SSN with the consumer and re-run the search; document any corrections and retain the signed update.

Is notarization or a witness normally required?

Not typically for most consumer report authorizations, but some states or specific transaction types may require notarization or witnesses; check the governing state law before requiring it.

How should signed authorizations be stored?

Store signed PDFs with an unalterable audit trail, ensure encrypted storage, and retain records for the applicable retention period to support disputes or regulatory inquiries.

Electronic Signature
Templates
Healthcare
Notice and Authorization Pertaining to Consumer Reports

Notice and Authorization Pertaining to Consumer Reports

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

What the Notice and Authorization Pertaining to Consumer Reports Is

The Notice and Authorization Pertaining to Consumer Reports is a written consumer disclosure and consent used by employers, landlords, lenders, and other entities to request consumer reports or background checks from consumer reporting agencies. The document explains the purpose and scope of the report, documents the consumer's informed consent, and creates an auditable record of authorization for compliance and internal review. When completed correctly, it supports lawful ordering of reports and helps demonstrate that the requester obtained permission before accessing a consumer report.

Why a Clear Notice and Authorization Matters

A clear Notice and Authorization protects the requester and the consumer by documenting informed consent, defining permissible uses, and preserving an audit trail for legal and regulatory review under federal and state laws.

Who Typically Issues or Signs This Authorization

The Notice and Authorization is used across hiring, housing, lending, and contracting processes where a consumer report is required; different teams may prepare, review, or sign the form depending on the context.

Employers and HR teams ordering pre-employment background checks and screening reports.
Property managers and leasing agents conducting tenant screening for rental applications.
Lenders and financial services teams requesting credit or fraud reports for underwriting.

Who Signs and Why

HR Manager

An HR manager or authorized hiring representative signs or coordinates the authorization to ensure recruitment staff follow a consistent screening policy, document consent, and store the signed authorization with the candidate’s personnel records.

Consumer

The consumer (applicant, tenant, or customer) provides the written signature and identifying information to permit the requester to obtain one or more consumer reports for the stated permissible purpose under applicable law.

Core Elements to Include in a Professional Authorization

A correct Notice and Authorization should be concise and include all legally relevant elements so the consumer understands what is requested and how the information will be used.

Consumer Disclosure

A plain-language statement that a consumer report may be obtained and used for the stated purpose so the consumer can give informed consent.

Purpose Statement

A specific description of the permissible purpose (employment screening, tenant screening, credit underwriting) limiting the report's intended use.

Scope of Report

Which report types will be obtained (credit, criminal, employment history) and any date ranges or jurisdictions covered.

Personal Identifiers

Fields such as full legal name, date of birth, and SSN (or partial SSN) used to match records accurately and reduce the risk of misidentification.

Signature Block

Signature, printed name, and date to evidence the consumer’s consent; include signer capacity if a third party signs.

Revocation Notice

Instructions describing how the consumer may revoke consent and any consequences or limitations of revocation.

Step-by-Step: How to Complete and Use the Authorization

Follow these steps to collect lawful consent, order the report, and maintain a compliant record for review or dispute resolution.

01

Prepare the Form: Populate requester details and the specific permissible purpose.
02

Provide Disclosure: Give the consumer the written disclosure before requesting the report.
03

Obtain Signature: Collect the consumer’s handwritten or electronic signature and date.
04

Order and Retain: Order the consumer report and store the signed authorization with the file.

Typical Process Flow for Ordering a Consumer Report

A consistent process reduces legal risk and improves turnaround. The following high-level flow outlines common sequencing.

Request Disclosure: Deliver the disclosure and allow the consumer to review it.
Capture Consent: Collect the consumer’s signature and any identification details.
Submit Order: Provide the signed authorization to the consumer reporting agency.
Store Record: Retain the authorization and report per retention rules.

Typical Online Workflow Settings for eSubmission

Configure your e-sign workflow to include required fields, appropriate authentication, and secure retention of signed records.

Field	Configuration
Signature Method	Email link or typed/drawn eSignature
Authentication	Email plus optional SMS code or KBA
Record Retention	Store PDF with audit trail and timestamp
Conditional Fields	Show SSN only after identity verification

Digital Signing and Integration Considerations

Choose a signing platform that produces tamper-evident PDFs, retains audit trails, and supports the authentication level required for consumer consent.

Supported Formats: PDF, DOCX, HTML, Excel
Common Integrations: Salesforce, NetSuite, Google Workspace
Authentication Options: Email, SMS, KBA

Security and Compliance Considerations for Stored Authorizations

In-transit Encryption: TLS 1.2/1.3 in transit

At-rest Encryption: AES-256 encrypted at rest

SOC 2: SOC 2 Type II certified

HIPAA: HIPAA compliant (BAA required)

21 CFR Part 11: 21 CFR Part 11 compliance available

ISO: ISO 27001 certified

Key Risks and Penalties from Incorrect or Missing Authorization

FCRA Liability: Potential statutory and actual damages

Invalid Consent: Report requests may be unlawful

Adverse Action Risk: Failure to follow notice rules

Data Breach Fines: Privacy regulation penalties possible

State Penalties: State consumer protection fines

Operational Delay: Mismatches slow hiring or leasing

Common Mistakes to Avoid When Preparing Authorizations

Providing an unclear purpose that does not meet permissible-use standards and may lead to a report rejection or legal challenge.
Collecting incomplete identifiers (misspelled name, missing DOB or SSN) that cause incorrect matches or longer processing times.
Failing to document or retain the signed authorization and audit trail, making it difficult to respond to disputes or requests.
Using weak authentication for electronic signatures when stronger identity verification is appropriate for the risk profile.

Real-world Examples of eSigned Authorizations

These customer examples show how organizations use eSign workflows to collect consumer report authorizations efficiently while keeping records auditable.

Optica Ventures — Streamlined Intake

Optica moved authorizations online to reduce manual handling and errors.

Implemented guest signing links for applicants.
The team reports simpler intake and fewer mismatches while maintaining an auditable record for each consumer report request and storage in their HR system.

Martin Properties — Remote Leasing

Martin Properties digitized tenant screening authorizations to support remote leasing.

Mobile-first signing for applicants.
Managers can now obtain signed authorizations, order tenant screening reports, and retain signed PDFs centrally, reducing move-in delays and improving applicant communication.

Timing and Processing Expectations

Understand when authorization must be obtained, how quickly reports typically arrive, and how timing affects adverse-action obligations and retention.

Obtain Authorization First:

Authorization must be secured before requesting a consumer report.

Report Delivery:

Reports often arrive within 24–72 hours of order, depending on scope.

Adverse Action Timing:

Provide required notices promptly after relying on report information.

Revocation Effect:

Revocation stops future orders; existing reports already obtained remain in records.

Retention Start:

Retention periods begin on the date the report or authorization is created.

Key Milestones from Consent to Record Retention

A milestone view helps teams track the lifecycle of an authorization and the associated consumer report process.

01

Authorization Obtained

Consumer signs and date stamps the authorization form.

02

Report Ordered

Requester submits order to the consumer reporting agency.

03

Report Reviewed

Hiring or leasing decision-makers review results for relevance.

04

Adverse Action Notice

If adverse action is taken, send required notices and summary information.

Electronic Signature vs Digital Signature — Key Differences

Different signature technologies offer different levels of cryptographic assurance and auditability; choose the level appropriate for your compliance obligations.

Criteria	Electronic signature	Digital signature
Definition	broad legal category	pki-based cryptographic method
Legal equivalence	yes under esign/ueta	yes; stronger proof
Cryptographic proof	no required	yes, certificate-based
Typical use	general agreements	high-risk, regulated records

eSignature Platform Pricing Comparison for Authorization Workflows

Compare baseline pricing and common feature distinctions across vendors. signNow is listed first per comparison convention; verify plan fit for high-volume or regulated use.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	No	No	No	No
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Frequently Asked Questions About Notice and Authorization Pertaining to Consumer Reports

Answers to common questions about validity, electronic signatures, revocation, and storage when using the Notice and Authorization.

Need help? Contact support

Does this authorization need a separate consumer disclosure?
Yes. For consumer-facing financial or benefits transactions, federal ESIGN rules require a consumer disclosure of the right to receive paper and the method to withdraw consent; include the required language and a method for the consumer to confirm access.
Can the authorization be signed electronically?
Yes. Electronic signatures are legally valid under the ESIGN Act (15 U.S.C. §7001) and UETA in applicable states, provided intent, consent, attribution, and record retention requirements are met.
How long does authorization remain valid?
Validity depends on the text of the authorization and any applicable state or industry rules; many organizations set an explicit expiration, and revocation procedures should be described in the form.
What if the consumer's name or SSN doesn't match?
Commonly this causes a failed match. Verify spelling, DOB, and SSN with the consumer and re-run the search; document any corrections and retain the signed update.
Is notarization or a witness normally required?
Not typically for most consumer report authorizations, but some states or specific transaction types may require notarization or witnesses; check the governing state law before requiring it.
How should signed authorizations be stored?
Store signed PDFs with an unalterable audit trail, ensure encrypted storage, and retain records for the applicable retention period to support disputes or regulatory inquiries.

Explore Templates

New York Consent to Change Name of Minor New York Minor Name Change New York Affidavit New York Application for Fee by Claimant's Attorney New York Legal Life Documents for Military Personnel Revocation Power of Attorney

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now