Everything You Need To Know About Reference Checking

Posted on: 16 June 2022

Are you tempted to exaggerate a little on a resume or job application? It's not recommended, especially with automated reference checking now available. Here's what you need to know about reference checking if you are applying for a new job or loan. 

What is reference checking?

Reference checking is the process of contacting an individual's references to verify information about them. This can be done by phone, email, or in person. It is often done by employers during the hiring process to verify an applicant's qualifications and claims about their work history.

Reference checking can also be done by landlords, mortgage lenders, loan officers, and others who need to verify someone's character or qualifications.

What information is typically verified?

When reference checking, employers or others will typically verify an individual's:

  • Work history
  • Education
  • Job performance
  • Character
  • Personal references
  • Professional references

Reference checking may also verify an individual's:

  • Criminal history
  • Credit history
  • Driving record
  • Work authorization

Additionally, employers typically use reference checking as a way to verify an applicant's qualifications.

What is automated reference checking?

Automated reference checking is a new process that uses software to automate the reference checking process. This type of software contacts an applicant's references and collects information about them, which is then stored in a database. This information can be accessed by employers or others who need to verify an individual's qualifications. As you apply for future employment and additional loans, that information is also added to the database.

What are the benefits of automated reference checking?

Automated reference checking has several benefits for banks and employers, including:

  • Speed. It is faster and more efficient than traditional reference checking. In the past, reference checking was left to real people in the Human Resources department and took days or weeks to complete. With automated reference checking, it can be done in minutes.
  • Accuracy. Automated reference checking is more accurate than traditional reference checking. With traditional reference checking, there is always the potential for human error. Automated reference checking eliminates this risk.
  • Cost-effective. Automated reference checking is more cost-effective than traditional reference checking. With traditional reference checking, employers have to pay someone to do it. With automated reference checking, there is no cost for the employer beyond the cost of the software.

Additionally, automated reference checking is becoming more common as employers seek to streamline their hiring processes.

If you're looking for a more efficient and accurate way to reference check your applicants, consider using automated reference checking software. Automated reference checking can save you time and money while ensuring that you're getting the most accurate information available about your applicants.

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