There are several good reasons to make background screening a part of your hiring process. If your employees handle the personal data of others, it is critical to know who you hire. If your business involves handling financial or health information for customers, you must comply with electronic data privacy requirements. Not checking on an applicant’s background and whether they are suitable for the job can be very expensive, especially if that employee later causes injury to another person. You will have opened yourself to a negligent hiring lawsuit that could be easily avoided with background screening. Reviewing background and credit is simply a great way to review applicant reliability. Keep in mind, however, that you cannot refuse to hire based simply on the fact that a person has filed bankruptcy.