If your banking history has caused you to be denied a checking account, it’s important to know that you still have options. ChexSystems is a consumer reporting agency that tracks banking activities such as overdrafts, unpaid fees, and account closures. These records can remain active for up to five years, making it difficult to open new accounts at most financial institutions during that time.
ChexSystems and Its Role in Banking
In the U.S., approximately 80% of banks and credit unions use ChexSystems to screen new account applicants. A negative ChexSystems report can result in your application being denied, leaving you with fewer options for traditional banking services. However, not all financial institutions rely on ChexSystems. Some offer second chance accounts or bypass the system entirely, providing opportunities for individuals with a negative banking history.
BancorpSouth’s ChexSystems Policy
BancorpSouth does not use ChexSystems, making it a solid option for those with a negative banking history. They offer checking accounts without ChexSystems restrictions, allowing you to open an account even with past issues.
While BancorpSouth is a strong choice, other banks and credit unions also avoid ChexSystems. Here are some alternatives to explore:
U.S. Bank
- Up to $400 sign-up bonus
- $25 minimum opening deposit
- Monthly service fee can be waived
- Over 40,000 fee-free ATMs
SoFi
- Up to $300 sign-up bonus with direct deposit
- No minimum opening deposit
- Earn up to 4.50% APY
- Over 55,000 fee-free ATMs
- Early pay with direct deposit
Current
- Build credit and earn points with every swipe
- No minimum opening deposit or maintenance fees
- Get paid up to 2 days faster
- No credit check or ChexSystems
Learn More
- Banks That Don’t Use ChexSystems – Take the first step to rebuilding your banking history with our list of banks that do not use ChexSystems for account approval.
- Credit Unions That Don’t Use ChexSystems – Find a credit union that will work with you, not against you. Learn about the credit unions that don’t use ChexSystems.
- Am I in ChexSystems? – Unsure if you’re in ChexSystems? Learn how to find out and take control of your financial status.
- How to Get Out of ChexSystems – Learn how to get out of ChexSystems in four simple steps.
- Second Chance Checking Accounts – Take control of your financial future with our list of over 250 banks that offer second chance checking accounts.
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