Federal Law (FCRA)
The Fair Credit Reporting Act (FCRA) establishes the federal minimum requirements for employment background checks, including disclosure and authorization requirements, consumer rights, and the adverse action process. Many states impose additional requirements that employers must also follow.
Read FCRA Overview →Indiana: Key Requirements
Scroll to view all requirements below.
Ban the Box / Fair Chance Hiring
Indiana does not have a statewide ban the box or fair chance hiring law for private employers. Private employers may ask about criminal history on the initial job application and at any stage of the hiring process. Indiana law also prohibits its own counties, cities, and townships from passing local ban the box ordinances stricter than state or federal law, so no local ordinance can expand this further.
Criminal Record Lookback Period
Indiana prohibits criminal history providers from reporting non-conviction and pending records more than 7 years old. Convictions may still be reported without a time limit.
*Indiana's rule covers a broader category of report compilers than the federal definition of consumer reporting agencies.
Reporting Restrictions
Indiana law prohibits the reporting of expunged records, court restricted records, or information a provider knows to be inaccurate. It also protects a narrow category of low level felonies (Class D or Level 6) that a court has formally reduced to a Class A misdemeanor conviction under Indiana's own sentencing law, treating that record the same way as an expungement rather than a reportable misdemeanor. A report also may not omit material changes to a record that occurred 60 or more days before the report is delivered.
Expunged / Sealed Records
Under Indiana's Second Chance Law, it is unlawful discrimination for an employer to deny employment or take other adverse action against an applicant or employee based on a conviction that has been expunged. An applicant with an expunged conviction is not required to disclose it.
Salary History Ban
Indiana does not have a salary history ban. Employers may ask applicants about their previous pay.
Credit Report Restrictions
Indiana does not restrict an employer's use of consumer credit reports in hiring decisions.
Bankruptcies
Indiana has no state law limiting the reporting of bankruptcies. Employers must follow the federal FCRA baseline.
Civil Judgments & Lawsuits
Indiana has no state law limiting the reporting of civil judgments or lawsuits. Employers must follow the federal FCRA baseline.
Tax Liens & Collections
Indiana has no state law limiting the reporting of paid tax liens or collection accounts. Employers must follow the federal FCRA baseline.
Marijuana / Drug Testing Protections
Indiana has not legalized marijuana for medical or recreational use. Employers may test for marijuana, enforce a zero tolerance policy, and take adverse action based on a positive result, with no cardholder or off duty use exceptions.
Pre-Adverse Action Notice & Waiting Period
Indiana has no state law setting a specific waiting period before taking adverse action. Employers must follow the federal FCRA baseline.
Adverse Action Notice Requirements
Indiana has no state law adding to the federal adverse action notice process. Employers must follow the federal FCRA baseline.
Authorization Requirements
Indiana has no state law governing background check authorization. Employers must follow the federal FCRA baseline.
Individualized Assessment
No statute. EEOC guidance under Title VII applies.
Childcare Screening
Indiana requires a national, fingerprint based criminal history background check for employees and volunteers who may be present at a licensed child care center or child care home during operating hours, completed before the individual is employed or allowed to volunteer and renewed at least every 3 years.
Unless otherwise noted, the information on this page applies to private sector employment. Government employers and certain regulated industries may be subject to additional or different requirements.
Local Ordinances That May Apply
Click a jurisdiction below to view full details.
Indianapolis, IN Preempted by State Law Ban the Box
Indianapolis adopted a ban the box ordinance in 2014, but a 2017 state law now prohibits Indiana counties, cities, and townships from enacting ban the box rules stricter than state or federal law. Indianapolis's ordinance no longer applies to private employers as a result.
This list reflects known local ordinances at the time of publication and may not be exhaustive. Employers should confirm requirements for every city or county where they hire.
What This Means for Employers
Indiana gives employers wide latitude, but a few requirements still apply. To stay compliant:
Provide a clear disclosure and obtain written authorization before running a background check. Run the required fingerprint based background check before hiring for any child care role. Do not ask about, consider, or report expunged, court restricted, or inaccurate criminal history. Follow the FCRA's pre-adverse and final adverse action process before denying employment based on a report. Marijuana use does not need to be accommodated for any applicant or employee.Non-compliance can result in civil penalties, damages, and legal liability under both state and local law.
Download the Indiana Quick Reference Guide
Get a printable, one-page comparison of FCRA vs. Indiana law.