Effective April 18, 2026, an amendment to the New York State Fair Credit Reporting Act¹ will ban employers from using an applicant’s or employee’s credit history for employment decisions, such as hiring or determining employee compensation. Narrow exceptions apply. This new prohibition generally expands New York City’s Stop Credit Discrimination in Employment Act, which has banned NYC employers from engaging in similar practices since 2015, subject to limited exemptions. As of April 18, 2026, comparable restrictions will apply statewide.

Key Features

The new amendment strictly limits an employer’s ability to utilize information related to an applicant’s or employee’s credit history when evaluating that individual for employment, promotion, reassignment, or retention.

Under this new law, it is an unlawful discriminatory practice for an employer, labor organization, employment agency, or any agents thereof to request or use for employment purposes the consumer credit history of a job applicant or employee. The Act also prohibits employers from discriminating against applicants or employees with regard to hiring, compensation, or the terms, conditions, or privileges of employment based on that individual’s consumer credit history.

The Act defines “consumer credit history” as an individual’s credit worthiness, credit standing, credit capacity, or payment history, as shown by:

1. A consumer credit report generated by a consumer reporting agency;
2. A credit score;
3. Information an...

Read Full Story: https://news.google.com/rss/articles/CBMi1wFBVV95cUxNM0JPMlg0aEFXU01QN3dZZGF3...