What Is a Disclosure and Authorization Form?

Hiring the right employee starts long before reviewing a background check report. If you’re wondering what is a disclosure and authorization form, you’re likely preparing to conduct employment background checks or reviewing your hiring process for compliance. These forms help employers meet federal requirements, protect applicants’ rights, and promote transparency before requesting a consumer report.

For employers, HR professionals, recruiters, and business owners across the United States, understanding disclosure and authorization requirements is an important part of making informed hiring decisions. Sapphire Check helps organizations complete FCRA-compliant background checks with customizable screening solutions, making it easier to stay compliant while reducing hiring risks. If you need a trusted screening partner, contact Sapphire Check to streamline your background check process with fast, accurate, and compliant screening services.

What Is a Disclosure and Authorization Form?

A disclosure and authorization form tells an applicant that an employer intends to obtain a background check for employment purposes and asks for the applicant’s written permission before ordering the report. Under the Fair Credit Reporting Act (FCRA), employers must provide a clear disclosure and obtain authorization before requesting a consumer report from a background screening company.

Although people often refer to them together, a disclosure and authorization form actually includes two different legal requirements. The disclosure informs the candidate that a background check may be conducted. The authorization gives the employer permission to obtain the report. Together, these documents support transparency throughout the hiring process while helping employers comply with federal law.

Most employers use these forms before ordering pre-employment background checks that may include:

• Criminal record searches
• Employment verification
• Education verification
• Professional license verification
• Motor vehicle record (MVR) checks
• Drug screening
• Credit reports when permitted by applicable laws
• Identity verification

Background check providers like Sapphire Check use these forms as part of a compliant screening workflow that protects both employers and candidates.

Why Are These Forms Important?

Disclosure and authorization forms do more than satisfy a legal requirement. They help applicants understand how their information will be used and give employers documented permission before obtaining a consumer report.

Without proper disclosure and authorization, an employer may expose the organization to unnecessary compliance risks, legal disputes, and hiring delays.

Disclosure vs. Authorization: What Is the Difference?

A disclosure and an authorization serve different purposes, even though employers often present them together during the hiring process. Understanding the difference helps HR teams create compliant hiring workflows and reduces the risk of FCRA violations.

The disclosure focuses on transparency. The authorization focuses on consent.

What Is a Disclosure?

A disclosure is a written notice informing the applicant that the employer intends to obtain a consumer report or investigative consumer report for employment purposes.

The FCRA requires the disclosure to be:

• Clear and conspicuous
• Easy to understand
• Presented before ordering the background check
• In a document that consists solely of the disclosure, without unrelated information

The purpose is straightforward. Applicants should immediately understand that the employer plans to conduct a background check and what that means before deciding whether to provide authorization.

What Is an Authorization?

The authorization is the applicant’s written permission allowing the employer to obtain the background report.

Authorization may be provided through:

• A signed paper document
• A secure electronic signature
• An approved digital hiring platform

Electronic authorization has become common because many employers now complete hiring entirely online. Employers should keep records of signed authorization forms as part of their hiring documentation.

Disclosure vs. Authorization Comparison

Disclosure	Authorization
Explains that a background check may be obtained	Gives the employer permission to obtain the report
Required before ordering a consumer report	Required before ordering a consumer report
Must be clear and conspicuous	Must include the applicant’s written consent
Focuses on informing the applicant	Focuses on obtaining permission
Supports transparency	Documents consent

Although many employers refer to these documents as a “disclosure and authorization form,” each serves a separate legal purpose within the background screening process.

When Do Employers Need Disclosure and Authorization Forms?

Employers should provide disclosure and obtain authorization before requesting any employment background check from a consumer reporting agency. Waiting until after the report has been ordered may violate FCRA requirements and create unnecessary compliance risks.

These forms are commonly used whenever an employer orders:

• Criminal background checks
• Employment verification
• Education verification
• Professional reference checks
• Driving record searches
• Drug screening
• Credit reports where legally permitted

The process usually follows a predictable sequence.

Hiring Step	Employer Action
Job application	Collect candidate information
Disclosure	Inform the applicant about the background check
Authorization	Obtain written consent
Background screening	Order the consumer report
Review results	Evaluate findings fairly and consistently
Hiring decision	Continue with employment or follow adverse action procedures if necessary

Following this sequence creates a documented hiring process that supports compliance while improving the candidate experience.

What Makes a Disclosure and Authorization Form FCRA-Compliant?

An FCRA-compliant disclosure and authorization process gives applicants the information they need before a background check begins while documenting their permission to proceed. Following these requirements helps employers reduce legal risk and create a more transparent hiring experience.

Although every hiring situation differs, employers should build their forms around several core FCRA principles.

The Disclosure Must Be Clear and Conspicuous

Applicants should understand the disclosure immediately.

Avoid dense legal language, technical terminology, or confusing statements that make it difficult for candidates to understand why the employer is requesting a background check.

Instead, the disclosure should simply explain:

• A background check may be conducted.
• The report will be used for employment purposes.
• The report may contain information allowed under the FCRA and applicable laws.

Simple language supports both compliance and a better candidate experience.

The Disclosure Should Stand on Its Own

One of the most discussed FCRA requirements is the standalone disclosure requirement. The disclosure document should focus only on informing the applicant that a consumer report may be obtained. Employers should avoid adding unrelated information such as:

• Liability waivers
• Employment agreements
• Company policies
• Acknowledgments unrelated to the background check
• Broad legal releases

Including extraneous information may create compliance concerns because it distracts from the disclosure itself.

Employers Must Obtain Written Authorization

After presenting the disclosure, employers must obtain written authorization before requesting the report.

Authorization may be:

• Signed on paper
• Signed electronically
• Completed through an online hiring portal

Electronic authorization has become the standard for many employers because it speeds hiring while maintaining proper documentation.

Keep Accurate Records

Employers should securely retain signed authorization records along with documentation supporting the background screening process. Maintaining organized records helps demonstrate compliance if questions arise later and allows HR teams to verify that proper procedures were followed for every candidate.

FCRA Compliance Checklist

Before ordering a background check, confirm that your hiring process includes the following:

Requirement	Why It Matters
Clear disclosure	Helps applicants understand the screening process
Standalone disclosure	Reduces confusion and supports FCRA compliance
Written authorization	Documents the applicant’s consent
Secure recordkeeping	Creates an audit trail for future reference
Consistent hiring process	Reduces compliance risk across all applicants

Many employers also need to comply with state and local laws that impose additional disclosure or notice requirements. Reviewing your forms regularly and consulting qualified legal counsel when needed can help your organization stay current as hiring regulations change.

Common Employer Mistakes to Avoid

Many FCRA lawsuits do not result from intentionally violating the law. Instead, employers often rely on outdated forms, copy templates from the internet, or combine multiple hiring documents into one packet without reviewing current requirements. Small mistakes can create unnecessary legal exposure and delay hiring.

Including Unrelated Information

Some employers add liability waivers, company policies, or employment acknowledgments directly into the disclosure. Because the disclosure exists to inform applicants about the background check, unrelated information may confuse candidates and increase compliance risk.

Using Outdated Forms

Background screening laws continue to evolve at the federal, state, and local levels. Employers who continue using old disclosure templates may unintentionally overlook newer legal requirements or state-specific notices. Reviewing forms periodically helps reduce this risk.

Ordering Reports Before Authorization

An employer should never order a consumer report before obtaining the applicant’s written authorization. Doing so may violate FCRA requirements and expose the organization to complaints or litigation.

Applying Different Standards to Different Candidates

Consistency matters. Every applicant for the same position should move through the same disclosure, authorization, and screening process. Applying different procedures without a legitimate business reason may increase legal risk and create fairness concerns during hiring.

Common Mistake	Better Practice
Combining unrelated documents	Keep disclosure focused on the background check
Using outdated templates	Review forms regularly
Ordering reports before authorization	Obtain written consent first
Inconsistent hiring procedures	Apply the same screening process fairly
Poor recordkeeping	Maintain secure documentation throughout hiring

How Sapphire Check Helps Employers Stay Compliant

A reliable background screening provider does more than order reports. The right partner helps employers build a consistent, compliant hiring process by supporting proper disclosure and authorization procedures, providing accurate screening results, and staying informed about changing compliance requirements.

Managing background checks across multiple positions or locations can quickly become complex. Healthcare organizations, transportation companies, cannabis businesses, manufacturers, and growing small businesses often have different screening requirements based on the role, applicable laws, and industry regulations. Working with an experienced screening provider helps reduce administrative work while improving consistency.

Sapphire Check offers customizable employment background screening solutions that support employers throughout the hiring process. Depending on the position, screening packages may include:

• National criminal database screening
• County, state, and federal criminal record searches
• Employment verification services
• Education verification
• Professional license verification
• Healthcare sanctions searches
• Motor vehicle record (MVR) checks
• Drug screening services
• Identity verification and Social Security Trace
• Credit reports where permitted by applicable laws

Sapphire Check also integrates with many HRIS and ATS platforms, making it easier for HR teams to request reports, manage documentation, and track candidate progress from one system. Whether your organization hires a handful of employees each year or screens hundreds of candidates across multiple locations, a structured screening process helps reduce hiring delays while supporting FCRA compliance.

Looking for a background screening partner? Sapphire Check provides fast, accurate, and FCRA-compliant background checks with customizable screening packages designed to fit your hiring needs.

Best Practices for Employers

Creating compliant disclosure and authorization forms is only one part of an effective hiring process. Employers should also review their screening procedures regularly to keep pace with changing regulations and maintain consistency across all hiring decisions. The following best practices help reduce compliance risks while improving the experience for applicants and hiring teams.

Review Forms Regularly

Federal, state, and local laws can change over time. Review disclosure forms and authorization documents periodically to confirm they still align with current legal requirements and your organization’s hiring practices.

Use Plain Language

Applicants should understand exactly what they are signing. Avoid unnecessary legal terminology whenever possible. Clear, direct language helps applicants understand the purpose of the background check and reduces confusion.

Train Hiring Managers and HR Staff

Even well-written forms can become ineffective if employees follow inconsistent procedures. Train everyone involved in hiring so they understand:

• When to provide the disclosure
• When to collect authorization
• When background checks can be ordered
• How to document each step
• How to handle adverse action procedures when necessary

Maintain Secure Documentation

Keep signed authorization forms and related hiring documents in a secure location. Good recordkeeping supports compliance, simplifies audits, and helps answer questions if applicants request additional information about the screening process.

Choose a Trusted Background Screening Provider

An experienced screening provider helps employers build a consistent workflow while providing accurate reports and ongoing compliance support. Instead of relying on outdated templates or manual processes, employers can work with providers like Sapphire Check to simplify screening while reducing hiring risks.

Conclusion

Understanding what is a disclosure and authorization form is an important step toward building a compliant and transparent hiring process. A clear disclosure informs applicants that a background check will be conducted, while written authorization gives employers permission to obtain the consumer report. Following these requirements helps protect applicant rights, supports fair hiring practices, and reduces compliance risks.

Strong hiring decisions depend on more than completing paperwork. Employers also need accurate information, consistent screening procedures, and a background check provider that understands changing compliance requirements. By reviewing your forms regularly, training hiring teams, and partnering with an experienced screening company, you can create a smoother hiring process from start to finish.

Whether you’re hiring for healthcare, transportation, manufacturing, retail, cannabis, or any other industry, Sapphire Check provides fast, accurate, and FCRA-compliant background screening solutions tailored to your organization’s needs. From criminal record searches and employment verification services to drug screening, MVR checks, and HRIS and ATS integrations, Sapphire Check helps employers hire with greater confidence while protecting workplace safety. Contact us now.

FAQs

What is a disclosure and authorization form?

A disclosure and authorization form tells an applicant that a background check may be conducted and obtains their written permission before the employer orders the report.

Can disclosure and authorization forms be combined?

Yes. The FCRA allows employers to combine them into one document if the disclosure remains clear, conspicuous, and free of unrelated information.

What should not be included in a disclosure form?

Do not include liability waivers, company policies, employment agreements, or other unrelated language. The disclosure should focus only on the background check.

Does electronic authorization count?

Yes. Employers may use electronic signatures if they comply with applicable laws and properly document the applicant’s consent.

What happens if a candidate refuses to authorize a background check?

If a background check is required for the position, the employer generally cannot order the report and may stop the hiring process.