Checking Accounts - No Chexsystems Involved

You may have recently had one or more banks rejectcredit, score would have had an influence on your
your application for a new checking account. And, youname showing up in this database. These are actually
may know by now the reason for your applicationtwo very separate risk assessment systems with no
having been rejected: it's called Chex Systems. Chexdirect crossover or influence. So, you can put to bed
Systems has become a dirty word for anybody whoyour fears about your poor credit score having an
has been rejected for a new checking account.effect on your account getting rejected.
What Chex Systems IsYour New Best Friend: How Second Chance
Chex Systems is a database that works like anChecking Can Save The Day
early-alert credit risk system for banks and otherIf you keep getting rejected for a new account, your
financial institutions. Unlike the FICO (credit) scoringnew best friend in the banking world just may be any
system we have all come to know (and love?) overbank that offers second chance checking. A second
the past several decades, the Chex Systemschance checking bank is simply any bank that
database does not feature a score. Rather, just havingpromises not to refer to Chex Systems when
your name entered into the database is enough to getreviewing checking account applications. In fact, they
your checking account application rejected, noignore it altogether.
questions asked. Talk about lack of a chance toIf you are looking for checking accounts with no
explain yourself!Chexsystems involved, here are 5 things you should
How Your Name Got Reported To Chex Systemsknow:
Your name could have gotten report to this "banking1. You need make a list of second chance checking
risk assessment database" for all sorts of reasons,banks. They will usually bill themselves as "second
including for example:chance banking." And, some may call themselves
1. You have shown yourself to be a banking risk in the"non-Chexsystems banks."
past.2. Choose one that has ATM machines installed all
2. You have been suspected of writing bad checksover the country - or at least in the states in which
and/or committing other types of check fraud.you travel.
3. You still owe one of your previous banks money for3. Make sure they are insured by the FDIC.
an overdraft they covered on your behalf.4. Get a feel for the bank - make sure you like "who
As you can see from this list of possible reasons,they are" - before making your decision.
notably it is NOT the case that having a poor FICO, or