| "...I'm sorry, my bank cannot help you.
| |
| | reporting agency, ChexSystems has to
|
| You're listed in ChexSystems..."
| |
| | follow the Fair Credit Reporting Act
|
| My wife and I just moved from South Bend,
| |
| | (FCRA) and the new Fair and Accurate
|
| Indiana to Indianapolis. We needed a
| |
| | Credit Transactions Act (FACTA). This
|
| checking account. We both wanted a fresh
| |
| | means you're entitled to one free copy of
|
| start after bankruptcy, and opening a new
| |
| | your ChexSystems report every year.
|
| checking account with a new bank seemed
| |
| | What I Figured Out By Accident
|
| like a good place to start.
| |
| | After my unexpected rejection from the
|
| I chose to go with a national bank and
| |
| | bank on Fall Creek Road, I needed a few
|
| found a branch on Fall Creek Road in
| |
| | days to regroup.
|
| Indianapolis near Geist Reservoir. I was
| |
| | My wife and I shared a car at the time,
|
| nervous.
| |
| | and she had a job interview at a RE/MAX
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| The thing about filing bankruptcy that
| |
| | real estate office near Geist Reservoir.
|
| most people have a hard time
| |
| | As I waited for her, I noticed three new
|
| understanding (unless they've gone
| |
| | banks just a stone's throw from each
|
| through it themselves) is the feeling of
| |
| | other. Literally, one on each corner of
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| inferiority. Each new credit application
| |
| | the road. What were they thinking? None
|
| can cause anxiety.
| |
| | of the branches looked busy. My guess was
|
| I'll share a quote that pulled me through
| |
| | they were stumbling over each other to
|
| this stressful time in my life. It's from
| |
| | win new bank customers...even ones listed
|
| Eleanor Roosevelt. She said...
| |
| | in ChexSystems.
|
| "No one can make you feel inferior
| |
| | So I took a chance.
|
| without your consent."
| |
| | I locked the car, hoping Michele wouldn't
|
| I love that quote.
| |
| | return right away. Then I picked the bank
|
| So I walked into the bank branch with the
| |
| | that looked the newest. I went in and
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| attitude, "Everyone knows I filed
| |
| | asked to be directed to the person who
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| bankruptcy-so what?" I asked to be
| |
| | could open a new checking account for me.
|
| directed to the person who could open a
| |
| | I sat down in the branch manager's
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| new checking account for me.
| |
| | office. And as he was going through the
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| The lady at the desk who began to talk to
| |
| | routine pleasantries, I noticed him
|
| me about opening an account was really
| |
| | reaching in his drawer for a new starter
|
| nice...until she found my name in
| |
| | checking account kit.
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| ChexSystems.
| |
| | I then spoke up and asked, "But what if
|
| Then everything changed...
| |
| | I'm listed with ChexSystems?"
|
| "...I'm sorry, my bank cannot help you.
| |
| | His answer shocked me.
|
| You're listed in ChexSystems..."
| |
| | "We don't use CheckSystems. I'd be happy
|
| That was that.
| |
| | to open an account for you."
|
| I walked out of the bank without a
| |
| | And so he did.
|
| checking account because of a company
| |
| | I returned to the car, excited to share
|
| called ChexSystems.
| |
| | my discovery with Michele. We had a
|
| What is ChexSystems?
| |
| | checking account from a bank!
|
| ChexSystems is a checking account
| |
| | What I hope you glean from this is that
|
| verification company based in Woodbury,
| |
| | not all banks or credit unions use
|
| Minnesota. Banks and credit unions use
| |
| | ChexSystems. It may seem like it in some
|
| them when people apply to open a checking
| |
| | cities, but they absolutely are not used
|
| account. It's essentially a consumer
| |
| | by 100% of financial institutions.
|
| reporting agency designed to check if
| |
| | How To Get a Checking Account If You're
|
| people have a history of writing bad
| |
| | Listed In ChexSystems
|
| checks. If you're listed in ChexSystems
| |
| | The best way is to find a bank that
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| you're usually not allowed to open a
| |
| | doesn't use ChexSystems to verify new
|
| checking account with that bank.
| |
| | accounts.
|
| ChexSystems is the largest player in the
| |
| | Here's how to go about it...
|
| check verification industry. However,
| |
| | 1. Start by making a list of all the bank
|
| there are other companies that provide
| |
| | branches in your area. You'll do better
|
| similar services, such as TeleCheck and
| |
| | if you stick with the smaller, local
|
| Decision Power Insight from Equifaxreg;.
| |
| | banks and avoid the big banks.
|
| I'll focus on ChexSystems since they're
| |
| | 2. Call and ask to speak to the branch
|
| the largest.
| |
| | manager.
|
| Are You On The ChexSystems Blacklist?
| |
| | 3. Inquire about their different checking
|
| There are several actions that can get
| |
| | account programs. (How much money do you
|
| you on ChexSystems' blacklist...
| |
| | need to start an account, how long does
|
| - Fraudulent handling of a checking
| |
| | it take, can you do it online, what check
|
| account
| |
| | number will they start you out at, etc.?)
|
| - Bouncing a check resulting in
| |
| | 4. Then ask how they verify new accounts.
|
| non-sufficient funds (NSF)
| |
| | Do they review your credit report? If so,
|
| - Overdrafting your account while using
| |
| | which credit report, and will the credit
|
| your ATM or debit card
| |
| | inquiry lower your credit scores? (Of
|
| - Having your account "closed for cause"
| |
| | course, you know the answer to this
|
| One of the most common ways to get listed
| |
| | question is yes-but let's see how many
|
| in ChexSystems happens when you move or
| |
| | tell you the truth.) Or, do they use a
|
| change banks. Because check and debit
| |
| | check verification service? If so, which
|
| card charges don't show up on your
| |
| | one?
|
| account as soon as you make them, you can
| |
| | If the branch manager tells you they
|
| get hit with NSF charges after you
| |
| | don't use ChexSystems-you've got a
|
| thought you closed your old bank account.
| |
| | winner! Be sure to write down the
|
| The best way to avoid this problem is to
| |
| | person's name and make arrangements to
|
| leave your old account open until you are
| |
| | stop in and open an account. If the
|
| sure all your transactions have cleared.
| |
| | branch manager tells you they use
|
| Once you're listed in a check
| |
| | ChexSystems...here's what to say next...
|
| verification service such as
| |
| | "...Darn it. I'm listed with ChexSystems
|
| ChexSystems-it's best to just pay what's
| |
| | and they're a bear to deal with to get
|
| due. Also, make sure you request a letter
| |
| | something resolved. Is there anything I
|
| on that bank's letterhead stating that
| |
| | can do to get an account with you?"
|
| all debts have been paid.
| |
| | If they say, "No," ask them...
|
| Now, one would think that if you included
| |
| | "Do you happen to know of a local bank
|
| an unpaid check in your bankruptcy
| |
| | that doesn't use ChexSystems or a program
|
| petition that your debt would be erased-I
| |
| | that can help me open a new bank
|
| personally didn't find that to be the
| |
| | account?"
|
| case.
| |
| | Sometimes you can speed up your search by
|
| I learned that entries remain on your
| |
| | asking for help. It will take you only a
|
| ChexSystems report (even if they're paid
| |
| | few seconds to ask, but the right answer
|
| off) for five years. So if you think
| |
| | may save you hours of research.
|
| you're safe because you paid the check or
| |
| | A New Trend Developing
|
| included it in your bankruptcy, you may
| |
| | I've noticed more and more banks are
|
| not be.
| |
| | reviewing credit reports in lieu of using
|
| This was my ChexSystems experience. Yours
| |
| | check verification services. Sometimes
|
| may be different. If you have a
| |
| | they even do both! I wouldn't open an
|
| ChexSystems story to share go here to
| |
| | account with a bank that does this-mainly
|
| tell me about it. I'll compile all the
| |
| | because their credit inquiry will lower
|
| information and share it with everyone in
| |
| | my credit scores. So keep looking.
|
| a future issue.
| |
| | Banks That Really Care
|
| How Do You Know If You're Listed In
| |
| | Some banks are willing to give even
|
| ChexSystems?
| |
| | bankrupt people a break. If you're
|
| You'll either be unable to open a new
| |
| | searching for a new bank and you think
|
| bank checking account or you'll have a
| |
| | you may have trouble getting a checking
|
| difficult time getting stores to accept
| |
| | account, ask if they have some kind of
|
| your checks.
| |
| | "second chance" or "fresh start" program.
|
| You see, the same corporation that owns
| |
| | A lot of banks have probationary programs
|
| ChexSystems also owns SCAN, the company
| |
| | that offer limited services for a set
|
| that verifies checks at places such as
| |
| | amount of time (usually six months). If
|
| Wal-Mart or your local grocery store.
| |
| | you really need a checking account, these
|
| When you write a check at a store, and
| |
| | programs can be a lifesaver.
|
| they put it through that little machine
| |
| | There are also two specific services that
|
| at the register, they're looking to see
| |
| | a lot of banks and credit unions are
|
| if you're listed in either SCAN's or
| |
| | becoming affiliated with. Basically,
|
| ChexSystems' databases. If you are, they
| |
| | these programs allow you to take a course
|
| usually won't accept your check.
| |
| | on how to manage a checking account. And
|
| If they do accept your check, then
| |
| | when you complete the course, you'll be
|
| ChexSystems has guaranteed that it will
| |
| | given a certificate to open a bank
|
| be honored by your bank. If it bounces
| |
| | checking account with a participating
|
| like a rubber ball, then ChexSystems will
| |
| | bank or credit union.
|
| pay the merchant the amount of the check
| |
| | The two programs are called Get Checking
|
| out of their pocket...then you not only
| |
| | and InBalance. Get Checking is geared
|
| have to pay your bank's NSF fee, but
| |
| | more toward banks, while InBalance is
|
| ChexSystems' as well...which can get
| |
| | more for credit unions.
|
| expensive.
| |
| | So don't be afraid to ask. Remember what
|
| The best way to know if you're in
| |
| | Eleanor Roosevelt said...
|
| ChexSystems is to review your ChexSystems
| |
| | "No one can make you feel inferior
|
| report. Since they're a consumer
| |
| | without your consent.
|
