Client Security/Credit Check - IR35 Risk?

[IPSE]

Hi, been lurking on the site for a while.

The client I'm currently working with are asking for everyone working on a specific project to undergo a security/credit check (not SC) and have sent the forms to both permies and contractors to complete. If I let the company run the check on me does this put me at risk of assessed as being within IR35? My contract has been reviewed and is outside of IR35. Should my Ltd. company be running the checks rather than the client?

I have tried the search but couldn't find an answer buried in with all the SC questions.

Any help is appreciated.
Cheers

It's standard/mandated practice in loads of clients - especially in Financial Services - and has no bearing on IR35.

[MrMarkyMark]

Um
I'd agree to the credit check against me, so long as I could run credit checks against each and every member of the board of directors of the client co. What's good for the goose etc. If they refuse, I'd tell them to jog on.

The only person that would be jogging on is you, potentially away from hundreds of thousands of revenue

[quackhandle]

It's because you'll have access to their financial systems.

Or are you too young to remember Superman III?

Both keys at the same time?

qh

[billybiro]

It's because you'll have access to their financial systems.

Or are you too young to remember Superman III?

Ri-i-i-ght..... And, of course, a clean bill of health on a credit check absolutely proves beyond any shadow of a doubt, that you're trustworthy enough to access their financial systems, yes?

[quackhandle]

Ri-i-i-ght..... And, of course, a clean bill of health on a credit check absolutely proves beyond any shadow of a doubt, that you're trustworthy enough to access their financial systems, yes?

It doesn't but they have it in place to cover their backs. If someone failed a check on say large debts, still got accepted, stole xyz then they would be liable. All about covering the backside and alot more besides.

qh

[MrMarkyMark]

Anyway, all immaterial you you wont get on site without it, unless you are contracting via a consultancy, at least for IBs.

[LondonManc]

Ri-i-i-ght..... And, of course, a clean bill of health on a credit check absolutely proves beyond any shadow of a doubt, that you're trustworthy enough to access their financial systems, yes?

As much as a DBS check can prove that someone hasn't been a kiddy-fiddler - so far. It's as much due diligence as they can carry out. Most people with a career won't risk getting sacked for petty crime but if they can dump £10m+ offshore and buy a new life elsewhere, then they might be tempted. It's standard operational risk mitigation.

Anyway, all immaterial you you wont get on site without it, unless you are contracting via a consultancy, at least for IBs.

Which makes it anything but immaterial

[billybiro]

Most people with a career won't risk getting sacked for petty crime but if they can dump £10m+ offshore and buy a new life elsewhere, then they might be tempted. It's standard operational risk mitigation.

If I was of that persuasion and I had the means to "dump" £10m+ into an offshore account and thought I'd get away with it, I can assure you that the last thing I'd be worrying about is my credit rating.

[MrMarkyMark]

If I was of that persuasion and I had the means to "dump" £10m+ into an offshore account and thought I'd get away with it, I can assure you that the last thing I'd be worrying about is my credit rating.

That's the whole point, it doesn't matter what you would worry about, or what you think.

[billybiro]

That's the whole point, it doesn't matter what you would worry about, or what you think.

No, the whole point is that if the role exposes you to the ability to potentially dump £10m+ into that offshore account, no amount of credit checking or any other "due diligence" (and the results thereof) is really going to make any kind of difference as to whether you'd actually do it, therefore, such checks are entirely useless. However, if the bank wants to convince itself that such nonsense actually means something, then more fool them.