If your checking account application was denied, ChexSystems could be the reason. Many banks use this reporting system to review past banking activity before approving new accounts.
ChexSystems tracks things like overdrafts, unpaid fees, and closed accounts. Negative information can remain on your record for up to five years, which can make opening new accounts more difficult during that time.
Why Banks Use ChexSystems
Banks and credit unions often rely on ChexSystems to understand how customers have managed previous accounts. About 80% of financial institutions in the U.S. use it to flag potential risks such as unpaid overdrafts or repeated account closures.
However, not every bank takes this approach. Some provide second chance checking accounts or skip ChexSystems entirely, allowing you to rebuild your financial record and regain access to everyday banking.
Citizens Bank’s Policy on ChexSystems
Citizens Bank checks ChexSystems when reviewing new checking account applications. If your record includes negative information, such as unpaid balances or account closures, your application may not be approved.
That doesn’t mean you’re out of options. Several banks don’t use ChexSystems, making it possible to open a checking account even if you’ve had past banking challenges.
Alternatives to Citizens Bank That Don’t Use ChexSystems
If you’ve been denied an account at Citizens Bank, these trusted options make it easy to start fresh:
SoFi
- Up to $300 sign-up bonus with direct deposit
- No minimum opening deposit
- Earn up to 3.80% 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
Chime
- Up to 3.75% APY on a high-yield savings account
- Over 47,000+ fee-free ATMs
- Up to $200 fee-free overdraft coverage
- Get paid up to 2 days early with direct deposit
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.
