If you are on ChexSystems list and are in search of a second chance
checking account, you have come to the right place. The majority of the
people that find this article will have recently learned that they are
on the Chexsystems list. Quite frankly, many are in search of a non
chex system checking account. Not only will this article give you the
ins and outs of the Chexsystem, you will find out where to go to get
more information on how to get off chexsystems.
So, What is ChexSystems?
ChexSystems is not a bank. Also know as eFunds, they are a consumer
reporting agency that reports information on consumers who have bounced
checks, defrauded banks, overdrawn their bank accounts, have not paid
their banks transaction fees or have had too many insufficient funds
transactions. Banks use ChexSystems as a major source of information.
After reviewing the ChexSystems information regarding your banking
history, they then decide whether or not to approve you for a bank
account, much like a creditor checks your credit before approving or
denying you a line of credit. ChexSystems does not keep track of the
good and wonderful banking habits you may have had over the years only
the bad ones. This is why many people feel ChexSystems is a poor and
incomplete source of information for banks to base their decisions on.
While ChexSystems does not directly approve or deny bank accounts, if
you are listed in the ChexSystems database, you will likely not get a
bank account of any kind at any major bank. Nearly 90% of all banks in
the United States use ChexSystems in their account decision process.
Despite the size and widespread use of ChexSystems, the company does
not maintain a website and you will find it very difficult to find any
helpful information from the company itself. They certainly do not make
it easy for you to get the information you need to change your
ChexSystems status. Many who have fallen victim to ChexSystems, either
fail to dispute the erroneous details in the their report, or don't
know the process and steps needed in order to check the system and get
themselves off of the ChexSystems list. More on that shortly, but
first, it's important to understand how you landed in this hellish
nightmare.
How you may have landed on ChexSystems list
It is important to understand that all of the information in the
ChexSystems database is reported by the banks themselves. All
information reported from the banks is taken as true and correct, and
no evidence or proof is needed, unless it is disputed by the consumer.
If there is one thing you should remember it is that you do have rights
and are entitled to know the information that is adversely affecting
you. You are entitled to a copy of your personal ChexSystems report
which will list any negative items banks have reported about you.
There are many types of issues that could land you in the ChexSystems
database. Some of the many ways you may have ended up in ChexSystems
include: bounced checks, an overdrawn account that has gone delinquent,
defrauding the bank in some way, insufficient funds transactions,
forged checks, writing checks on a closed account, opening an account
with false information, or forgetting to close an unused account that
incurs monthly fees, etc. These are the most common examples. The banks
have their own policies on what gets reported and when. Some banks are
more lenient than others and some banks will report you at the first
sign of trouble.
The worst part about the whole system is that many of the banking
issues reported are done by accident and were not intentional. Many
times the information recorded is incorrect. Unfortunately, Chexsystems
will not voluntarily send your report to you. This requires some
initiative on your part to contact them and dispute any and all
inaccuracies that may be present. Once on ChexSystems list you will be
there for 5 long years. That is unless you go through the process of
removing yourself from their list.
How does ChexSystems change my banking options?
* 90% of banks in the US will not give you a
checking or savings account
* If you already have one, your bank will likely
close it
* Without a checking account your ability to write
checks will cease
* Banks will not cash your checks
* You will have to use your local check cashing store
Think about how many times per month we use these banking features. We
pay our bills with bill pay or with our debit card. We send personal
checks to the utility companies. We buy groceries using our debit cards
and checks. We reserve airline tickets, shop online, and pay for our
gas at the pump. Not if you're on ChexSystems, cash and money orders
are about the only two options you've got.
Given that you have found my article, I assume that the above scenario
is all too familiar to you.
So what can you do while on ChexSystems?
You can get immediate relief with something called a second-chance
checking account. It is a checking account that has many of the typical
banking features that you have come to expect out of a checking
account, but they are designed for people who have landed on the
Chexsystems list. Many people will try to sell you a list of places
that offer this type of account, but don't waste your money. Bank
account applications should always be free. You can find these
financial institutions for free by searching for them yourself but you
could easily spend hours sifting through the scammer sites. Check out
my signature for a resource that will give you 2 free applications for
this type of account. Learning how to get off Chex is the best way to
improve your financial status, but it's nice to know you can get a
second chance bank account in the meantime.
Erika specializes in writing articles that provide problem solving
advice and helpful recommendations.
To get the step-by-step guide to getting off Chexsystems and 2 free
bank account applications go to:
http://www.squidoo.com/non-chex-system
Article Source: http://EzineArticles.com/?expert=Erika_Finks