Vermont limits how employers can use both criminal records and credit history, and its rules reach private employers. Under 21 V.S.A. 495j, effective in 2017, an employer may not ask about criminal history on its initial job application. It may ask in an interview or once the applicant is found otherwise qualified. The exception is jobs where a law disqualifies people with certain convictions. An applicant who is asked must get a chance to explain the record and any rehabilitation.
Vermont also bars most employers from using credit reports in hiring. Under 21 V.S.A. 495i, an employer generally may not ask about an applicant's or employee's credit history or base job decisions on it. Exceptions include financial institutions, law enforcement, jobs with access to confidential financial information, and jobs with financial fiduciary duties. Even then, credit cannot be the only factor. The employer must get written consent and give written reasons for any adverse action.
Expungement is the third piece. Under 13 V.S.A. 7606, an expunged arrest or conviction is treated as if it never happened. The person may answer that no criminal record exists. A background check that reports an expunged Vermont case, or a sealed or dismissed one as a conviction, may be inaccurate under the FCRA. Vermont has no separate tenant screening statute, so renters rely mainly on the FCRA. Claims can be filed in the U.S. District Court for the District of Vermont.
Where Vermont FCRA cases are filed
FCRA claims are federal, so they go to a United States District Court. Cases from Vermont are heard in one federal district:
- District of VermontCourthouses: Burlington, Rutland.Filed with local or cooperating counsel
Our attorneys are licensed in Texas, California, and Georgia. Where they aren't admitted in your local federal court, we work with local or cooperating counsel who are. You may also be able to sue where the company that reported you is based, in a court where our attorneys are admitted:
- Checkr: HQ in N.D. California
- First Advantage and Sterling: HQ in N.D. Georgia
- RealPage: HQ in N.D. Texas
Which court is right depends on your facts. We'll tell you at your free case review.
Vermont laws that add to the FCRA
- Criminal History on Employment Applications (21 V.S.A. 495j)
Bars employers from asking for criminal history on the initial job application, with an exception for jobs where a law disqualifies people with certain convictions. Applicants who are asked later must get a chance to explain. Violations carry a civil penalty of up to $100 each. Read it - Employer Use of Credit Information (21 V.S.A. 495i)
Generally bars employers from asking about or using credit history in hiring and job decisions. Exceptions include financial institutions, law enforcement and jobs with financial duties, and credit cannot be the sole factor even then. Read it - Effect of Expungement (13 V.S.A. 7606)
An expunged arrest or conviction is treated as if it never occurred. A person need not disclose it on applications for jobs or licenses and may respond that no criminal record exists. Read it
Common background check errors
- Someone else's criminal or eviction record matched to you by name
- Dismissed, sealed or expunged cases still reported
- Charges reported as convictions, or misdemeanors as felonies
- The same case listed several times
- Eviction filings reported without the dismissal or outcome
Learn how these cases work on our background check lawsuits page, or read our lawsuit guides for Checkr, Sterling, HireRight, First Advantage, RealPage, SafeRent, RentGrow and TransUnion Rental Screening.
Frequently asked questions
Can a Vermont employer ask about my criminal record on the application?
Generally no. 21 V.S.A. 495j bars employers, including private employers, from asking about criminal history on the initial application. They may ask during an interview or after finding you otherwise qualified, and they must give you a chance to explain.
Can a Vermont employer run a credit check on me?
Only in limited cases. 21 V.S.A. 495i generally bars employers from using credit history, with exceptions such as banks, law enforcement and jobs handling money or confidential financial data. When an exception applies, the employer needs your written consent and must give written reasons for any adverse action.
What if a background check shows my expunged Vermont record?
Under 13 V.S.A. 7606, an expunged record is treated as if the offense never occurred. If a screening company reports it, you can dispute it, and the report may be inaccurate under the federal FCRA.
How long do I have to file an FCRA lawsuit in Vermont?
FCRA deadlines are the same everywhere: generally two years from when you discover the violation, and no more than five years from when it happened (15 U.S.C. § 1681p). Waiting can cost you the claim.
Sources
- U.S. District Court for the District of Vermont
- 9 V.S.A. ch. 63 (Vermont Legislature)
- 9 V.S.A. 2480b (Vermont Legislature)
- 9 V.S.A. 2480e (Vermont Legislature)
- 9 V.S.A. 2480f (Vermont Legislature)
- 9 V.S.A. 2480h (Vermont Legislature)
- 21 V.S.A. 495i (Vermont Legislature)
- 21 V.S.A. 495j (Vermont Legislature)
- 13 V.S.A. 7606 (Vermont Legislature)
- NELP, Ban the Box / Fair Chance Hiring State and Local Guide
- Fair Credit Reporting Act, 15 U.S.C. 1681 et seq. (FTC)
Updated November 2026. This page is general information, not legal advice.