Second Chance Checking - What to Do If You Have Been Denied Opening a Bank Account
There are a few reasons why a bank might refuse to let you open a new bank account with their institution.
If you overdraw your bank account, write a bad check and fail to repay the bank (usually within a 1 month time period) or if you leave a balance past due at a bank then that bank will more than likely report you to Chexsystems or Telecheck.
What is Chexsystems and Telecheck Chexsystems and Telecheck are agencies used by banks to determine a person's credit rating with financial institutions (banks, credit unions, savings and loan etc).
While some banks still rely on your credit report to decide if they are going to let you do business with them, most banks (over 90% in the U.
S.
use at least 1 of these 2 agencies to pre-check their customers).
How long will I be blacklisted from opening new checking accounts? Typically, once you listed on Chexsystems your name will remain on that list for 5 years.
Once you are on the "Chexsystems Blacklist" it is extremely difficult to get your name removed from that list.
Even if you pay off your balance that you owe to the bank that first reported you, most times your name will still remain listen for the remainder of the 5 years.
What to do if you have trouble opening a new bank account When you keep getting rejected by banks when you are trying to open a new account the best alternative is to look for a bank that offers Second Chance Checking.
What is Second Chance Checking? Second Chance Checking Accounts are for people with bad credit that have been denied a checking account in the past.
These checking accounts will usually let people with bad credit or listed in Chex Systems or Telecheck open a bank account as long as they have proof of identification and make a small opening deposit.
Second Chance Checking Account Features These accounts work just like a regular checking account.
They are from FDIC insured banks that offer direct deposit, free online bill paying, and 24-7 customer service and a lot of these accounts can be opened easily online without any embarrassing interviews or rejections.
Most of these accounts come with a Visa or Mastercard debit Card with your name on it.
Summary To sum it all up, there are millions of people in the U.
S.
that have trouble opening a bank account.
Opening a Second Chance Checking Account is the best way to get quick acceptance into a checking program.
If you overdraw your bank account, write a bad check and fail to repay the bank (usually within a 1 month time period) or if you leave a balance past due at a bank then that bank will more than likely report you to Chexsystems or Telecheck.
What is Chexsystems and Telecheck Chexsystems and Telecheck are agencies used by banks to determine a person's credit rating with financial institutions (banks, credit unions, savings and loan etc).
While some banks still rely on your credit report to decide if they are going to let you do business with them, most banks (over 90% in the U.
S.
use at least 1 of these 2 agencies to pre-check their customers).
How long will I be blacklisted from opening new checking accounts? Typically, once you listed on Chexsystems your name will remain on that list for 5 years.
Once you are on the "Chexsystems Blacklist" it is extremely difficult to get your name removed from that list.
Even if you pay off your balance that you owe to the bank that first reported you, most times your name will still remain listen for the remainder of the 5 years.
What to do if you have trouble opening a new bank account When you keep getting rejected by banks when you are trying to open a new account the best alternative is to look for a bank that offers Second Chance Checking.
What is Second Chance Checking? Second Chance Checking Accounts are for people with bad credit that have been denied a checking account in the past.
These checking accounts will usually let people with bad credit or listed in Chex Systems or Telecheck open a bank account as long as they have proof of identification and make a small opening deposit.
Second Chance Checking Account Features These accounts work just like a regular checking account.
They are from FDIC insured banks that offer direct deposit, free online bill paying, and 24-7 customer service and a lot of these accounts can be opened easily online without any embarrassing interviews or rejections.
Most of these accounts come with a Visa or Mastercard debit Card with your name on it.
Summary To sum it all up, there are millions of people in the U.
S.
that have trouble opening a bank account.
Opening a Second Chance Checking Account is the best way to get quick acceptance into a checking program.