What is a potential consequence if an applicant does not authorize a consumer report?

The correct understanding of this situation hinges on the requirements set forth by the Fair Credit Reporting Act (FCRA). When an applicant does not authorize a consumer report, it directly impacts the employer's ability to conduct background checks, including reviewing the applicant's criminal history. The FCRA mandates that employers obtain written consent from applicants before accessing their consumer reports. If the consent is not granted, the employer is prohibited from obtaining that information, which means they cannot conduct a background check or gather details about the applicant’s criminal history. This helps protect the applicant's privacy and ensures that information is only accessed with their permission. Thus, the employer is unable to gather crucial information about the applicant without their authorization.