If you’ve been denied a checking account due to a negative banking history, it’s essential to explore the available options and find a banking solution that suits your needs.
ChexSystems is a consumer reporting agency that monitors banking activities such as unpaid fees, overdrafts, and account closures. These records can remain active for up to five years, affecting your ability to open new accounts during that time.
How ChexSystems Affects Account Approvals
ChexSystems is utilized by approximately 80% of banks and credit unions in the United States to evaluate new account applications. A negative report from ChexSystems can lead to denied applications, restricting your access to traditional banking services.
Despite this, not all financial institutions depend on ChexSystems. Some offer “second chance” accounts aimed at helping individuals with past banking issues regain access to essential financial services.
SECU’s ChexSystems Policy
State Employees Credit Union (SECU) does use ChexSystems when reviewing applications for checking accounts. If your ChexSystems report includes negative information, such as unpaid fees or overdrafts, your application may be declined. Unfortunately, SECU also does not offer second chance checking accounts.
Banks That Don’t Rely on ChexSystems
If SECU’s use of ChexSystems is a barrier for you, there are other banks and credit unions that do not rely on ChexSystems for their account approval process. Here are some great alternatives to consider:
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 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
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.
