Permissible purpose
CIPP/US glossary · Last reviewed: · By Victor Humenhuk (CIPP/US certified)
Permissible purpose - An FCRA requirement that a consumer report be obtained only for an allowed reason; 'employment purposes' include preemployment screening and promotion/reassignment/retention decisions.
In the CIPP/US body of knowledge, Permissible purpose comes up under Chapter 12: Workplace Privacy; Chapter 9: Financial Privacy.
Permissible purpose in context
- Users need a permissible purpose, must certify it, and must give adverse-action notices; furnishers must provide accurate data and handle disputes. (Users and Furnishers Under the FCRA)
- A user may obtain a consumer report only with a ==permissible purpose== and must ==certify== that purpose to the CRA, plus certify the report will not be used for any other purpose. (Permissible Purpose and Certification)
- Employers need a ==permissible purpose== (employment) and must give written notice, get written consent, certify to the CRA, and provide ==pre-adverse-action and adverse-action notices==. (FCRA Restrictions on Background Checks)
Where Permissible purpose is covered in the CIPP/US study notes
Related terms
- Consumer reporting agency (CRA)
- Consumer report
- Investigative consumer report
- Pre-adverse-action notice
Test yourself on Permissible purpose
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