Best Background Check Software for Pre-Employment Screening

Key features you can expect to find in a top background check tool include FCRA compliance, applicant tracking system (ATS) & API integration, and mobile optimization.

• Compliance: Arguably, the most important functionalities of any background check provider in this space is their FCRA compliance. FCRA-compliant providers come with adverse action notifications and clear disclosure to candidates. Some are also accredited by the Professional Background Screening Association (PBSA), so you can rest assured that the data they pull is accurate and compliant. EEOC and Ban-the-Box policies are some other compliances to check for to eliminate biases and promote fair screening practices.
• Integration with ATS and other HR software tools: With an integration, key data collected from the background check software, like previous employers, education history, and criminal history, will be automatically stored in your ATS or HRIS. Some providers, like Verified First and Atlantic Employee Screening, even let you screen a candidate from the ATS.
• Mobile-optimized: Most vendors will also provide a mobile-optimized self-service portal where employer users can initiate and manage background checks efficiently while candidates can access their screens right from their mobile devices.
• Status tracking and real-time reporting: Top background check service providers give you nearly up-to-the-minute results, so you’ll know you’re getting the most accurate information on a candidate’s background. These providers also often provide real-time status tracking so you can keep track of your screening progress.
• Log of candidate communications: Store your communications with a candidate in case there is ever an issue that requires an audit.
• Ability to send 613 notice to candidates: The 613 notice refers to section 613 of the FCRA, which says that if a potential criminal record is found, the reporting agency (i.e, the background check tool you choose) must notify both the candidate and the company (i.e. you) of the findings.
• Streamlined onboarding: To make things less admin-heavy for both employers and potential hires, many background check services nowadays provide digital versions of Form I9, E-verify, and other tax and onboarding forms, including direct deposit forms and emergency contact info.
• Global reach: Most background screening companies on this list (like Sterling and Certn) can collect relevant records from up to 200 countries, so if you typically hire candidates internationally, you can easily take care of their background checks, too.‍
• Customer support: Being with top background check software means a reliable customer support team will be available by phone, email, and/or chat during and outside normal business hours if you or a candidate have any questions about a particular step in your screening process.

When it comes to pricing options for background check software, there are five common choices:

• Free: A few background check vendors offer free plans. For example, Seon is free for 2 users and 500 manual checks per month and HiPeople allows for 1 candidate check free of charge. These plans are quite basic yet can serve as a good starting point for small business owners. 
• Free trial: Veriff and Turn are a rare few preemployment screening providers that have a free trial.
• Per-check: Most vendors structure their offerings this way, with fees ranging from as low as $5 to $10, though the average is typically around $30 per check.
• Enterprise usage: This option is for users who typically run more than 300 checks per year and often comes with a discounted volume price.
• One-time license: While not as common, some vendors like WorkWolf offer a one-time license fee for perpetual access to the software, without ongoing subscription fees.

It's also essential to be aware that additional fees, for example passthrough fees, may apply for accessing certain data sources. For example, county fees can cost from a few cents to as much as $100.

68% of organizations say they experienced an increased risk of employee fraud after COVID-19. Lowering that risk and building a safer work environment are some of the benefits you can get from using a top background check tool.

• Improve recruiter productivity: These tools are designed to reduce the time-consuming administrative tasks associated with running background checks and even onboarding new hires. Armed with a good background check software tool, you can expect faster access to candidates’ records, and digitized versions of necessary tax and onboarding forms (like direct deposit, emergency contact, etc.)
• Stay compliant: The last thing you want to do is violate any labor laws that could result in a lawsuit or a government fine. Using FCRA-compliant screening providers ensures that you’re using the right practices to hire the right people for your company.
• Keep a safe working environment: Accurate background check reports tell you if someone is a known criminal, sex offender, or even a terrorist. Plus, the screening can be ongoing, as in before and after a candidate gets hired. This means you’ll only hire people who do not pose a risk to the safety of your company and people in long-term.
• Better hiring overall: Not only can you make more informed decisions and move more quickly through the hiring process by only focusing on the right candidates, but you’ll have more inclusive hiring as well. After all, you’ll be running the same checks on everyone, thereby eliminating any bias or human error that might otherwise cause someone to be overlooked.‍
• Improve candidate experience and conversion: With user-friendly forms, mobile-friendly options, and real-time report update automation offered by background check service providers, candidates will have a better application and hiring experience. As a result, they’ll be more inclined to accept an offer.

While many background check service providers are similar, not all are created equal. Watch out for these common mistakes to make sure you choose the right vendor for your company and needs.

• A rushed screening investigation: A background check that is done too fast could set you up for costly hiring mistakes, from unintendedly turning down a potential employee due to incomplete/inaccurate data to ending up onboarding applicants whom you shouldn’t have. For example, if a criminal check only takes a few hours, you likely aren’t getting data from the county-level criminal system. In general, you should expect to get such result from a compliant provider within 24-48 hours.
• Overlooking vendor’s compliance practices: Not all companies that run background checks are FCRA-compliant. Oftentimes, the cheaper a background check service is, the less likely it’ll have a robust compliance department that continuously monitors regulatory changes to make sure its screening processes remain above board.
• Failing to keep a consistent, uniform screening process for all: Even if your gut tells you there is definitely something/nothing wrong about a candidate, always make sure you run the same background checks on them as you do with the rest of the applicants to keep things fair and consistent.
• No people oversee reports: Not all “hits” are criminal, so you need human review. A fingerprint could just mean someone was arrested, not guilty of a crime. To make sure you are accurately interpreting results, you need to have an actual person look at the results to determine the criminal nature, if any.‍
• Going too far with background checks: Background checks generally cover varying timeframes. According to iprospectcheck, it’s 7 to 10 years for criminal and federal checks, 3 to 7 years for employment verifications, 3 to 7 years for motor vehicle records (MVR) checks, and 7 years or longer for credit checks based on the position. Per FirstAdvantage’s 2023 data, 69% of companies request at least 5 years of address history when performing criminal checks. However, it’s worth bearing in mind that some states, including California, Hawaii, and Massachusetts, restrict reporting on criminal cases that are older than 7 years. Plus, some don’t allow employers to obtain certain personal info.

Here are some detailed questions that can help you better evaluate background check vendors.

• Where do you obtain candidate data from, and do you operate in all states where we employ people?
• Do you offer global background checks?
• How do you stay updated on regulatory changes? Can you provide examples of how your software handles discrepancies or outdated background information?
• How does your software integrate with our existing HR tech stacks?
• What is the typical turnaround time for conducting background checks?
• Is there a self-service portal for candidates to track the progress of their background checks? Can you show the candidate workflow as well as the HR workflow for our hiring team?
• Could you provide examples of situations where your software may not be the best fit for certain organizations or industries?
• How fast do checks typically take, and what Personally Identifiable Information (PII) do you collect? How do you ensure the security of this PII?
• Do you obtain county-level data for criminal checks, and do you include both arrests and convictions in your reports?
• Can reports be ordered in batches for convenience?
• Is screening performed by people in the US? If not, how is data privacy protected?
• What level of customer support do you offer? Do you provide training and ongoing support?
• What security measures do you have in place to protect against data breaches or unauthorized access?
• Could you provide details on your pricing structure, including any additional fees or hidden costs?
• Any chance you share the contact points of clients who have used your software we can talk to?

What is a background check?

A background check is the process individuals or organizations go through to legally verify someone’s personal and/or professional information.

What type of background check do most employers use?

The types of background checks employers typically run on their potential employees and sometimes, current ones are identity verification, criminal background check, reference checks, fingerprint background check, credit check, Motor vehicle records check, professional license and education background checks, e-verify background check, drug screening, Executive investigations, and ongoing employee screening.

What is background check software?

Employment background check software is a tool used by organizations to verify the background and credentials of candidates. It scans various aspects of an individual's background, including criminal history, employment history, education, credit history, and professional licenses.

Employers, human resources professionals, talent acquisition specialists, and hiring managers typically use background check services to ensure the reliability and suitability of candidates for job positions.

Why conduct background checks?

Employers run background checks for several purposes, but the three most commonly cited reasons are to protect their people and organization, to spot fakers, and to see if the candidates actually meet the required qualifications for the role.

What industries do the most background checks?

Not all industries require background checks, but it wouldn’t be surprised to see finance, childcare, healthcare, government, regulation, and law enforcement always do.

What do employers typically look for in a background check?

Based on 2023 FirstAdavantage’s data on 100 million screens it has conducted for over 33,000 customers, most employers conduct background checks for:

• Identity: Do we have relevant name and address information on the candidate?
• Criminal history: Does the candidate have a criminal history that will impact performance, safety, or brand reputation?
• Experience: Does the candidate have the right education and experience for the role?
• Risk exposure: Is the candidate’s history appropriate for any role-specific risks, including access and exposure to sensitive data or vulnerable populations?
• Compliance: Does the candidate clear all checks required by law or industry regulation for compliance?

What is included in a background check report?

While it can vary based on the type of check conducted and federal regulations, a background check report generally includes an individual's employment history, education, criminal records, credit history, and relevant licenses or certifications.

How far back do background checks go?

Background checks typically go back seven to ten years, but exact time frames differ for each type of check, position applied, industry regulations, and state or local laws.

How long are most background checks?

A background check usually takes two to four business days, but this timeframe can fluctuate based on various factors. Here are rough estimates for reference:

• Identity check: Instant–2 days.
• Credit check: 24–48 hours.
• Employment verification: 2–3 business days or longer.
• Educational verification: A few days.
• Professional qualifications verification: Within 2 business days.
• Global watchlist checks: 24–48 hours.
• Criminal check: 24–48 hours for U.S. check, 3–30 business days for international check.
• Motor vehicle records: Varies by state, ranging from a few days to a couple of weeks.

What background check company do most employers use?

The top popular employment background check service providers to date include GoodHire (100,000+ customers), Good Egg (part of Foley, 50,000+ customers), HireRight (37,000+ customers), Accurate (16,000+ customers), Checkr (15,000+ customers), First Advantage (used by 55% of Fortune 100), and Certn (10,000+ customers), Xref (9,000+ customers, most are staffing and recruitment agencies).

Screening candidates with an FCRA-compliant background check service provider is a great way of making sure you save your recruiters and candidates’ time, hire the right people, and sustain a safe and more diverse workplace.

For those considering running social media checks on applicants, one thing to keep in mind: While these checks may help you gauge a person’s character or judgment, they are risky—and not always legal. Make sure you understand the ethics and pitfalls around social media screening in recruitment to do it the right way.