How to Open Up a Checking Account With Chex Systems
Banks work with a company called Chex Systems to report accounts that have been used for fraud, or have had repeated overdrafts or account abuse. If your account is reported to Chex Systems, the negative incident can remain on your file for up to five years. Banks can access these reports when you try to open a new account. A negative incident could lead to denial of an account. However, it is still possible to open a checking account, even with a negative incident, if you know what is on your report and how to talk with your banker about it.
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Instructions
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Order your Chex Systems report from the company's Web site (see Reference 1). You are entitled to receive a copy of it every year. Looking at it will help determine exactly why you were reported.
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Contact banks in your area to determine if any of them offer specific "second chance" bank accounts. A second-chance account is meant for people who have been reported to Chex Systems, and banks offering this product will allow you to open an account easily.
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In the event no banks in your area offer second-chance checking, choose a bank based on other factors such as their free checking account features or their customer service reputation.
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Visit your chosen bank with your photo identification and ask to open a checking account.
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While the banker opens your account, tell him you are on Chex Systems and that you have reviewed your report. Explain any mitigating circumstances that may have occurred at the time you were reported and how you are prepared to handle a new account differently. This may allow him to get management approval to open the account despite your Chex Systems report.
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If your banker is not willing to open the account based on your explanation, discuss possible compromises. Perhaps the manager will approve your account if you agree to a probationary period with no debit or ATM card, or account access in person only to avoid overdrafts or other mistakes.
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