Candy, I can verify what Mark said. My personal experience is that I've been asked both questions (arrested? convicted?) many, many times, on job, loan, rental, etc. applications, but it's usually "arrested."
That does vary from state to state. For instance, in Oregon, such questions are usually illegal.
The difference seems to be liberal vs. conservative states. Giving power to the little guy rather than the boss man is anathema to conservatives.