There are certain background checks which are mandatory, such as for government workers and those who will work with children or elderly. But otherwise too, it’s a good idea to implement background checks for potential hires not only to see if they are fit for the job, but also to prevent any loss of business or lawsuits that may arise if something were to happen with an employee.

The following list includes the types of information that employers often need to consult as a part of pre-employment check, and the laws governing access and use for making hiring decisions.

• Verification of a candidate’s Social Security number through a credit bureau such as TransUnion, Equifax, or Experian, or running a credit report (The Fair Credit Reporting Act) is a must. The data results of a Social Security number verification can contain the state of and approximate year of the number; status as an invalid, unissued, or misused number; status on whether the number has been used to file a death claim; address(es) of the user; employer(s) of the user; the year of birth or age of the user.

• Do a criminal history search, which can be difficult. Searches can be done only on a local level, since there aren’t any national databases and federal law only permits employers to check criminal histories of individuals from the last 7 to 10 years.

• Get references from prior employers. Although the trend is for prior employers to disclose as little information as possible, 32 states have laws that provide immunity to employers for passing on legitimate information as long as it is without malice.