How can credit checking help you make better hiring choices?

30 May 2024 Posted by: kelly Business Resources
Centrix How can credit checking help you make better hiring choices?

As an employer, it’s tough choosing the right person for a role. There are so many factors to consider – from a suitable set of skills to personality dynamics to how much you trust the person applying for the position – and often you have limited information to make a hiring decision.

Luckily, when you’re hiring for positions involving financial risk, there’s a simple way you can add some serious strength to your hiring toolkit to vet the person you decide to hire.

Ordering consumer credit reports for your prospective employees helps you to assess each person’s financial behaviour. All Centrix credit reports enable you to view credit defaults, credit enquiries, any company affiliations the individual has, and insolvency records. You’ll also receive an easy-to-read credit score that provides a snapshot of an individual’s creditworthiness.

It’s a helpful additional precaution to check that your employee is responsible with their own money before you bring them into your business.

Unlike business credit reports, consumer credit reports require the consent of the individual before you order them. This consent can be requested and given as part of a standard job application form. Eligible businesses can also participate in CCR (Comprehensive Credit Reporting), for an enhanced view including up to 24 months of repayment history of an individual.

Some employers go one step further and conduct an identity verification check using one of Centrix SmartID products. Centrix SmartID provides a secure, streamlined way to help you digitally verify the identity of your customers and employees assisting you to meet any AML/AML compliance obligations as well as fraud prevention.

As well as identifying the right applicant, checking their credit report, and verifying their identity, it’s also worth running a criminal check through the Ministry of Justice to make sure they have a clean criminal record. These precautions will give you the best chance of finding someone responsible to fill the role.

For more information about how Centrix can help your business, access our comprehensive range of online resources here or feel free to email us at