Putting Accountability in Accounting: Background Screening for the Financial Industry

According to the most recent United States Sentencing Commission's "Recidivism Among Federal Offenders" report, about 35.5% of individuals convicted for fraud, theft, or embezzlement are re-incarcerated. There are no two ways about it: if someone handling large amounts of money mishandles it once, statistically, there is an increased risk of it happening again—for example, the administrator who was caught stealing company funds. In this case, a proper background and reference check for their new position would have quickly revealed that the candidate had been caught and fired for stealing company funds in her previous role. 

Employment screening can be important in every industry, from physical safety to protecting business facilities, but one of the biggest internal threats to the bottom line lies in finances—literally. It’s not just important to screen for financial crimes, though. Leveraging background checks for the financial industry can help you get a better picture of your candidate and how they might work with the rest of your team.  

Key background checks for financial roles

The level of screening often depends on the position. Thorough background checks can help employers make confident hiring decisions for roles trusting employees with money before they start. Here are a few searches and verifications to help ensure employees in financial roles meet high standards of trust and integrity:  

• National criminal history: Crime isn’t always committed near home. A National Criminal Plus search helps you go beyond the scope of where candidates have lived and cast a wider net to make sure a candidate is safe for hire. 
• County criminal searches: Searching by county can reveal more fine-tuned and up-to-date details about a candidate's past directly from local courthouses. 
• Address history: Reveals aliases, maiden names, and previous residences that may lead to additional records. Excluding name changes and past locations is often innocent but critical to providing a comprehensive background report. 
• National Sex Offender Public Registry (NSOPR): Adds an extra layer of protection for colleagues and customers to help ensure that your business is not entangled with an individual with a history of sex offenses. 
• Global Watch List: Flags individuals on domestic and international watch lists – supporting compliance with anti-money laundering and terrorism financing laws. 
• Professional license verifications: Verifying licensing for certain financial roles—for example, a CPA—helps ensure that an applicant’s credentials are up-to-date and legitimate. 

Together, these screening services help ensure that your financial institution protects itself from liability and meets legal obligations—but are also important building blocks to creating a culture of accountability.  

Building a culture of financial responsibility

Many financial positions require background screening by law. Running background checks on candidates before officially bringing candidates on board can help reduce risk, but taking a closer look at a candidate's history can go beyond legal obligations. Implementing strong background screening practices helps mitigate risk, maintain a positive company image, and foster a culture of integrity. 

Trust is your greatest asset 

The phrase “don’t mess with my money” is more than just a platitude. Financial institutions are built on consumer trust. In finance, perception is everything. Current and potential clients who hear about significant loss from within are less likely to trust you with their money. Covering all your bases and thoroughly screening employees in positions where money is being handled can help organizations maintain public confidence.  

Screening and verifications beyond theft 

Most financial institutions and companies' primary focus to protect their companies from embezzlement is to avoid candidates with a history of relevant theft. However, gathering additional details for sensitive positions can be helpful: 

• Verifications for employment and education can also help you ensure a candidate is who they claim to be.  

• Social media screening can tell you more about candidate behavior to ensure they are a good cultural fit for your organization, fostering a more positive and productive work environment for everyone involved. 
  

Simplified, scalable screening for financial institutions

The best way to protect your organization from loss and maintain a secure workplace is to establish consistent, thorough, and fair screening measures up front. Verified Credentials offers screening packages built specifically for the financial industry that can be deployed in just a few clicks, speeding up the process for each new hire and helping you ensure nothing slips through the cracks. 

• Standard Financial Screening Package: Includes an address history trace, standard criminal searches for financial roles, a National Sex Offender Public Registry search, and a Global Watch List search, focusing on key areas like fraud prevention and regulatory compliance.  

• Enhanced Scope Screening Package: Adds verifications and a statewide criminal search for an extra layer of protection.  

• Fully Customizable Packages: Pay only for what you need—built to evolve with your growing needs over time. Tailor screenings for specific job roles and regulatory needs. Set up packages for different departments or levels of access. 

We also make it easy to implement continuous monitoring, allowing your team to stay informed of changes in employee records that may affect their suitability for sensitive roles. 

Ready to Strengthen Your Financial Screening Program? 

Hiring people you trust to handle your money starts with user-friendly background screening and verifications you can trust. 

Let’s build a custom package specifically for your financial institution together. Contact us today to learn more.