New York Bans Employers from Checking Job Applicants' Credit

New law prohibits most companies from considering credit history in hiring decisions

Apr. 17, 2026 at 1:47am

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A high-end, photorealistic studio still-life featuring a stack of dollar bills, a silver pen, and a black credit card on a smooth grey background, symbolizing the complex relationship between personal finance and economic opportunity.A new New York law aims to remove credit history as a barrier to employment, sparking debate over the role of personal finance in hiring decisions.NYC Today

Starting this Saturday, employers in New York state will no longer be able to consider a job candidate's credit history when making hiring decisions. The new law, which applies to most companies, aims to remove barriers for those with poor or no credit from accessing employment opportunities.

Why it matters

This new law is intended to address concerns that using credit checks in hiring discriminates against lower-income and minority applicants who may have worse credit through no fault of their own. Proponents argue it will open up more job opportunities, while critics worry it could increase risks for employers.

The details

The new law prohibits most employers in New York from requesting or relying on the consumer credit history of job applicants when making hiring decisions. There are some exceptions, such as for positions that involve handling large amounts of cash, access to trade secrets, or other sensitive financial information.

  • The new law goes into effect on April 19, 2026.

The players

New York State

The state government that passed the new law banning most employers from using credit checks in hiring.

Long Island employers

Companies located on Long Island that will be impacted by the new law prohibiting them from considering job applicants' credit histories.

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What they’re saying

“This new law will help ensure that qualified candidates aren't unfairly shut out of job opportunities because of their credit history.”

— Assemblymember Latrice Walker, Sponsor of the New York credit check ban legislation

“While we understand the intent, this law could increase risks for employers and make it harder to assess candidates' trustworthiness and financial responsibility.”

— Thomas Grech, President of the Queens Chamber of Commerce

What’s next

The new law will go into effect on April 19, 2026, and employers found in violation could face fines or other penalties.

The takeaway

This new law in New York aims to remove barriers to employment for those with poor credit, but it also raises concerns from some employers about increased risks in the hiring process. The debate over the use of credit checks in hiring will likely continue as states consider similar measures.