| Having bad credit is self-perpetuating: the worse your | | | | suspected to have committed check fraud at some |
| credit score, the harder it can be to get out of debt, | | | | point in the pastd. for some other reason, some bank |
| start paying your bills on time and turn your financial life | | | | out there thinks you represent a risk |
| around. Regardless of your credit score, one of the | | | | Your Backdoor: Second Chance Checking |
| most important building blocks of having a normal, | | | | Fortunately, if your name has been reported to Chex |
| healthy financial life is to have your own checking | | | | Systems, you do have another option: opening a |
| account. | | | | second chance checking bank account. These |
| If you have tried one or more times to get approved | | | | checking accounts are identical in every way to a |
| for a new checking account but have been rejected, | | | | "regular" checking account, except for the fact that |
| you may believe that your credit score has something | | | | they the bank does not refer to Chex Systems during |
| to do with your situation: it doesn't. | | | | the application process. Bottom line: even if your name |
| The Anatomy of a Bank Account Rejection | | | | is on Chex Systems, it will not matter at all in terms of |
| In reality, getting your checking account application | | | | whether you will be approved for a new account. |
| rejected has nothing to do with your credit, or FICO, | | | | If you want to find bad credit checking accounts with |
| score. Rather, the sole purpose in life of your credit | | | | guaranteed approval, read on. |
| score is to determine whether you are eligible for auto, | | | | Finding Bad Credit Checking Accounts |
| mortgage, or personal loans and what interest you | | | | To get a bad credit checking account, you need to: |
| qualify for. | | | | 1. Get out a piece of paper and create a list of at least |
| The Real Culprit: Chex Systems | | | | 5-10 second chance checking banks. |
| The real culprit in your acceptance or rejection into a | | | | 2. Review their websites to determine which one looks |
| new checking account is something called Chex | | | | like a fit for you. |
| Systems. This is a risk assessment database that | | | | 3. Apply, but don't worry about being declined - even if |
| banks use to share information with each other about | | | | you have a poor FICO score and/or if your name |
| customers or ex-customers whom they deem to be a | | | | appears on Chex Systems. |
| banking credit risk. Your name can get reported to | | | | Bad credit checking is actually within reach for most |
| Chex Systems for any number of reasons, including:a. | | | | people. Now that you know that your past rejections |
| you still owe a previous bank with which you did | | | | by banks has nothing at all to do with your credit |
| business money for their covering one of your past | | | | score, you have a better understanding of how to get |
| charges that resulted in an overdraft.b. you committed | | | | an account. Find a second chance checking bank and |
| some sort of bank fraud - or something that could be | | | | you are guaranteed approval. |
| easily mistaken for bank fraudc. you committed or are | | | | |