What is a credit check?

A credit check is a review of publicly available information about a person’s financial situation. It is only used in special cases for example, for roles involving financial responsibility, access to assets, or high levels of trust.

The purpose is to assess whether there are any financial factors that may pose a risk in the position.

What is checked?

The credit check reveals:

• Credit score
• Registered payment remarks
• Bankruptcies
• Other indicators of financial solvency

All information is obtained from open and lawful sources such as public registers and credit reporting agencies.

The credit score is included in the report and provides an overall picture of the candidate’s financial standing.

When can a credit check be used?

A credit check may only be used if there is a valid legal basis under GDPR Article 6(1). The most common basis is:

Legitimate interest (GDPR Article 6(1)(f))

This requires that three conditions are met:

1. Purpose: There must be a legitimate interest — typically financial responsibility, asset management, or trust-based roles
2. Necessity: The credit check must be necessary to protect that interest
3. Balance of interests: The candidate’s rights and privacy must not outweigh the employer’s need

👉 The client is the data controller and must document that the legal basis is present before ordering the credit check.

How is a credit check conducted?

• The candidate is informed and gives consent in the portal
• We retrieve publicly available credit information via our trusted partners
• The data is summarized in a secure and structured report

📌 Credit checks are always conducted in compliance with applicable regulations and with advance notice to the candidate.

What is reported?

The result is shown in the final report delivered to the client. The report includes:

• Credit score
• Whether any registered remarks exist
• Any identified financial factors

Manymore does not assess whether the findings affect the candidate’s suitability, that is the client’s responsibility.

🔗 Related articles

• What is an ID check?
• What does education verification involve?
• What does a business interest check mean?

📩 Need help?

Unsure when a credit check is allowed or whether it applies to your role?

📩 Contact us at support@manymore.com – we’ll be happy to help!

Updated on: 14/07/2025