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In this video, attorney Bill Clinton explains the basics of background checks. He clarifies that a background check is essentially a credit report, defined as any third-party communication regarding an individual's character, reputation, personal characteristics, or lifestyle, used for specific purposes. These purposes may include obtaining credit, insurance, employment, government benefits, licenses, or other legitimate business needs. Clinton emphasizes the responsibilities of background checking companies to ensure the accuracy of their reports, and he discusses what individuals can do if they lose opportunities due to inaccuracies in these background checks.