Second Chance Banking: 30 Banks That Make it Easy to Start Over (Plus 245 State Banks)

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If you’ve ever found yourself unable to open a bank account due to a poor ChexSystems or Early Warning Services report, then you may want to look into a second chance bank. Second chance banking accounts are designed to give people who have bad credit, a ChexSystems, or EWS record a second chance.

This gives consumers who have a rocky banking history an opportunity to start over and prove that they can manage their accounts responsibly. Of course, some banks offer better terms than others so we’ve done the research to find the best options available for you.

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What is second chance banking?

When you apply to open a new checking or savings account, most banks will run a ChexSystems report. This report lets them know if you have a history of overdrawing your account or unexpectedly closing accounts without reconciling a negative balance.

If the bank determines that you’re too much of a financial risk, they can deny your application to open up a new account. Not having access to a checking account can cause financial problems for many people.

See also: 15 Banks That Don’t Use ChexSystems & 5 Credit Unions That Don’t Use ChexSystems

Paying in cash or relying on prepaid cards to manage daily transactions just isn’t feasible for most people. Not to mention, not having a bank account makes it difficult to do things like paying your mortgage or make major purchases.

Second chance banks offer you an opportunity to improve your banking history. They offer more lenient terms, don’t run a ChexSystems report, and often have low minimum balance requirements.

Best Second Chance Banking Options

If you have a checkered banking history, then trying out a second chance bank is going to be your best option going forward. Fortunately, there are second chance banks located all across the country. Let’s look at 30 banks, credit unions, and online lenders you can consider.

1. BBVA (Our Top Choice)

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Overview

BBVA is one of the best second chance banks available. And if you sign up now, you’ll qualify for a $200 bonus if you open a checking account. If you open a checking and savings account, you’ll access a $250 bonus.

BBVA makes it easy for customers to manage their accounts, pay bills, transfer funds, and deposit checks through the app. And you’ll receive free access to over 64,000 Allpoint ATMs across the country.

You can open your account with just $25 and there are no monthly service charges. BBVA is available in all 50 states except for Alaska and Hawaii.

2. Chime (Another Great Option)

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Chime is an online-only bank with no minimum balance requirements and zero fees. The checking account is similar to what you would get from a brick-and-mortar bank except it doesn’t come with any paper checks.

Chime also offers a high-yield savings account that earns an APY of 1.00%. This is much higher than what most traditional banks offer. And the bank is FDIC-insured so you’ll know your money is safe.

3. Wells Fargo

Wells Fargo Everyday Checking is a great option for customers that want a convenient bank account. It’s designed for college students and individuals that maintain lower bank account balances.

You’ll receive access to the Wells Fargo mobile app so you can monitor your balance. Any unauthorized transactions will be refunded by contacting the bank immediately.

You’ll need $25 to open the account and there is a monthly service charge of $10. However, you can avoid the monthly service charge in one of the following ways:

  1. Maintaining a $500 minimum daily balance
  2. Have $500 or more in direct deposits
  3. You’re between the ages of 17 and 24
  4. You have a linked Wells Fargo Campus ATM or Campus Debit Card

4. Bank of America

Bank of America offers a checkless banking account that is designed to be flexible. It comes with a debit card that can be used to make purchases and withdraw cash. You can also use the mobile banking app to transfer funds and deposit checks.

There’s a monthly maintenance fee of $4.95 and you can open the account with as little as $25. It’s a great option for college students and anyone maintaining a lower account balance.

5. Capital One 360

Capital One 360 offers a convenient online checking account with mobile banking and a free debit card. You don’t need any money to open the account and there are no monthly maintenance fees.

If you need to send cash to friends or family, you can do it using the Zelle app. And you’ll gain access to over 40,000 ATMs located across the country.

6. Radius Bank

Radius Bank is an excellent online bank due to its high interest rates and mobile banking app. The lender offers a no-fee checking account and a high-yield savings account. It’s available in all 50 states and you can open a new account with just $10.

7. Fifth Third Bank

Fifth Third Bank offers a wide variety of checking accounts, including Express Banking. There are no credit requirements to open the account and you can receive discounted fees of up to 50% on certain services. However, you can’t write checks or deposit a check at ATMs.

8. Woodforest National Bank

Woodforest National Bank has over 700 branches in 17 states across the U.S. You can open a new checking account with $25 and a one-time account set up fee of $9.95. If you set up a direct deposit, the monthly fee will be reduced to $9.95.

9. Memory Bank

You can open a new checking account at Memory Bank with just $50 to get started. The account does come with an $8.95 monthly fee, but you can reduce it to $6.95 by meeting certain criteria. Memory Bank gives its customers access to over 85,000 free ATMs and a free mobile app.

10. Farmers and Merchants State Bank

Farmers and Merchants State Bank offers a Pure Checking account that is a great option for anyone trying to rebuild their banking history. There’s a $6.95 monthly fee but you can get it waived by meeting certain criteria. There’s no minimum monthly balance and you’ll receive free online and mobile banking.

11. Premier Bank

Premier Bank is located in Virginia, West Virginia, and the DC metro area. You can get started for just $50 and there’s a $7.95 monthly service fee. If your account is in good standing after 18 months, you may qualify for an upgraded account.

12. Republic Bank

Republic Bank only serves customers in Florida, Indiana, Ohio, Kentucky, and Tennessee. You can open a checking account with just $50 and if you set up a direct deposit, your $12.95 monthly service fee will be reduced to $7.95.

13. Bank OZK

When you open a checking account with Bank of the Ozarks, you’ll receive a debit card and access to online and mobile banking. You can open a Pathway Checking account with $50 and there’s no monthly minimum balance. However, this account is a non-interest bearing account.

14. OneUnited Bank

You can open an account at OneUnited Bank with just $50 and you’ll gain access to free online and mobile banking. You can deposit checks and view your balance through the mobile app.

OneUnited Bank is available to customers in all 50 states and they even have branch locations in California, Florida, and Massachusetts. If you don’t live in a state that has a branch location, you can still take out cash at one of their 30,000 ATMs.

15. Staley Credit Union

Staley Credit Union works with customers in Illinois, Indiana, and Tennessee. You can open a checking account with $50 and there’s a $7 monthly maintenance fee.

16. UNIFY Financial Credit Union

UNIFY offers Right Start Checking for anyone who is opening a bank account for the first time or trying to improve their banking history. You’ll need $25 to open the account and there are no minimum balance requirements. And if you open up a savings account, you can set it up as overdraft protection.

17. Webster Bank

Webster Bank is available to customers in Connecticut, New York, and Rhode Island. You’ll open the account with $50 and there’s a monthly service fee of $16.95. However, if you set up a direct deposit the service fee will be reduced to $11.95.

18. American Airlines Credit Union

American Airlines Credit Union offers a variety of checking and savings accounts, including their Ascend Checking. This account is a good option for anyone looking to rebuild their banking history.

And if you sign up now, you’ll be eligible for a promotion the credit union is offering. You could earn $100 for meeting certain requirements.

19. Appalachian Community Federal Credit Union

Appalachian Community FCU is available in Tennessee, Virginia, and Kentucky. You can open a new account with just $20 and there’s a monthly maintenance fee of $10.

20. Centennial Bank

If you live in Alabama, Arkansas, Florida, or New York, you can open a checking account with Centennial Bank. You’ll need to deposit at least $100 to get started and the monthly service fee is $9.95 with direct deposit.

21. City National Bank

City National Bank is available to customers in Kentucky, Ohio, Virginia, and West Virginia. There’s no minimum monthly balance but there is an $8.99 service fee. You can lower the fee to $6.99 by setting up a direct deposit. And your first two non-sufficient funds fees will be waived.

22. CommonWealth One Federal Credit Union

CommonWealth One FCU is only available to customers in DC, Maryland, and Virginia. You must open the account at a branch office. There are no monthly fees and no minimum balance requirements. 

23. Corporate America Family Credit Union

CAFCU offers a Fresh Start checking account for customers that need to rebuild a positive banking history. To get started, you need to become a CAFCU member and maintain a minimum balance of $100. There’s also a $10 monthly service fee.

24. GenFed Financial

GenFed Financial is available to customers in Illinois, Indiana, and Ohio. To open a Clean Start checking account, you must have three or fewer negative records with ChexSystems. And any outstanding items must be at least 12 months old.

25. HomeStreet Bank

You can open a checking account with HomeStreet Bank with just $50 to get started. There are no monthly minimum balance requirements and no monthly service fees. The account is available to customers in select states across the U.S.

26. Hope Credit Union

Hope Credit Union is available to customers in Arkansas, Louisiana, Mississippi, and Tennessee. You’ll need $25 to open a checking account and there’s a monthly service fee of $9.95. However, the service fee will be waived if you can maintain a $200 minimum balance.

27. InTouch Credit Union

InTouch Credit Union is available in Michigan, Nevada, Tennessee, Texas, and Virginia. You can become a member by opening a savings account with just $5. From there, you can open a checking account with at least $50.

28. Simmons Bank (Formerly Landmark Bank)

Simmons Bank recently acquired Landmark Bank, a bank with locations in Missouri, Oklahoma, and Texas. Simmons Bank offers an Affordable Advantage checking account for customers that want to maintain a low monthly balance. You can open the account with $25 and there’s a $5 monthly service fee. However, you won’t be able to write checks with this account.

29. FirstFinancial Bank (Formerly MainSource Bank)

FirstFinancial Bank acquired MainSource Bank, a bank with locations in Illinois, Indiana, Kentucky, and Ohio. You can open a new checking account with $50 to get started and there are no minimum balance requirements.

30. Park Community Credit Union

Park Community Credit Union is available to customers in Indiana and Kentucky. There are no minimum balance requirements and there’s a monthly fee of $12.

Second Chance Banking by State

Alabama

Alabama Credit UnionOn-Track Checking
Avadian Credit Unione-Checking
Azalea City Credit UnionOpportunity Draft
Community Bank & TrustSecond Slice Checking
Family Security Credit UnionGive Me a Break Checking
First National BankCredit Builder
Guardian Credit UnionFresh Start Checking
Gulf Winds Federal Credit UnionMyOpportunity Checking
United BankGateway Checking
West Alabama BankFresh Start Checking

Alaska

True North Federal Credit UnionTrue Options Checking

Arizona

Alhambra Credit UnionBasic Checking
Bank of ArizonaOpportunity Banking
Banner Federal Credit UnionOpportunity Checking
Canyon State Credit UnionTry Again Checking
MariSol Federal Credit UnionBasic Checking
Pima Federal Credit UnionFresh Start Checking
Tucson Federal Credit UnionSecond Chance Checking
Tucson Old Pueblo Credit UnionMission Checking

Arkansas

Bank of ArkansasOpportunity Banking
Diamond BankEncore Checking
Focus BankFresh Start Checking
Red River Credit UnionFresh Start Checking
River Valley Community Federal Credit UnionFresh Start Checking

California

Alliance Federal Credit UnionFresh Start Checking
Alta Vista Credit UnionOpportunity Checking
American United Federal Credit UnionFreshStart Checking
Befit Financial Federal Credit UnionFresh Start Checking
E-Central Credit UnionE-Builder Checking
Foothill Credit UnionRebound Checking
Kern Federal Credit UnionFresh Start Checking
Los Angeles Federal Credit UnionSecond Chance Checking
North County Credit UnionFresh Start Checking
Premier America Credit UnionFresh Start Checking
Priority One Credit UnionNew Leaf Checking
University Credit UnionFresh Start Checking
Ventura County Credit UnionSecond Chance Checking

Colorado

Colorado State Bank and TrustOpportunity Banking
Liberty Savings BankClean Slate Checking
NuVista Federal Credit UnionThe Last Chance Checking

Connecticut

Eastern Savings BankRestart Checking
Finex Credit UnionRe-Start Checking
Hartford Federal Credit Union2nd Chance Checking
Tobacco Valley Teachers Federal Credit UnionmyChance Checking

Delaware

WSFS BankFresh Start Checking

District of Columbia

CommonWealth One Federal Credit UnionSecond Chance Checking

Florida

Alabama Credit UnionOn-Track Checking
Axiom BankOpportunity Checking
CenterState BankFresh Start Checking
Central Credit Union of FloridaFresh Start Checking
City County Employees Credit UnionFresh Start Checking
Community First Credit UnionFresh Start Checking
Compass Financial Federal Credit UnionRestart Checking
First American BankFresh Start Checking
First Florida Credit UnionSmart Track Checking
Gold Coast Federal Credit UnionFresh Start Checking
Gulf Winds Federal Credit UnionMyOpportunity Checking
Jax Federal Credit UnionFresh Start Checking
JetStream Federal Credit UnionSecond Chance Checking
Liberty Savings BankClean Slate Checking
McCoy Federal Credit UnionFresh Start Checking
Members First Credit Union of FloridaSecond Chance Checking
Okaloosa County Teachers Federal Credit UnionFresh Start Checking
One South BankOpportunity Checking
Priority Credit UnionRestart Checking
San Antonio Citizens Federal Credit UnionSecond Chance Checking
South Florida Federal Credit UnionAnother Chance Checking
United BankGateway Checking

Georgia

Community Bank & TrustSecond Slice Checking
Doco Credit UnionFresh Start Checking
Excel Federal Credit UnionFresh Start Checking
Georgia United Credit UnionRestart Checking
Georgia’s Own Credit UnionResolution Checking
Health Center Credit UnionFresh Start Checking
Members United Credit UnionAnother Chance Checking
Peach State Federal Credit UnionFresh Start Checking

Hawaii

We were unable to find any second chance checking accounts in Hawaii. However, there are several national and regional banks in the list above that offer second chance checking to residents of Hawaii.

Idaho

Latah Credit UnionSecond Chance Checking

Illinois

Catholic & Community Credit UnionRebound Checking
First American BankFresh Start Checking
First Eagle BankEagle Fresh Start Checking
First National Bank and Trust CompanyRenew Checking
Marquette BankReStart Checking
Prairieland Federal Credit UnionNot Your Normal Checking2

Indiana

Centra Credit UnionOpportunity Checking
Diamond Valley Federal Credit UnionFresh Start Checking
Evansville Teachers Federal Credit UnionOpportunity Checking
Farmers & Merchants State BankClean Start Checking
Heritage Federal Credit Union2nd Chance Checking
Horizon BankFresh Start Checking
Interra Credit UnionOpportunity Checking
One Vision Federal Credit UnionRising Star Checking
Park Community Credit UnionFresh Start Checking
Regional Federal Credit UnionFirst Step Checking

Iowa

Collins Community Credit UnionTake2 Checking
Federation BankFresh Start Checking
Greater Iowa Credit UnionFresh Start Checking
North Iowa Community Credit UnionFresh Start Debit

Kansas

Central National BankNew Opportunity Checking
United Consumers Credit UnionSecond Chance Checking

Kentucky

C-Plant Federal Credit UnionSecond Chance Checking
The Cecilian BankChoice Opportunity Checking
Central BankClean Start Checking
Evansville Teachers Federal Credit UnionOpportunity Checking
First United Bank and Trust CompanyFresh Start Checking
FNB BankStart Again Checking
Heritage Federal Credit Union2nd Chance Checking
Home Federal BankSquare One Checking
Park Community Credit UnionFresh Start Checking

Louisiana

Neighbors Federal Credit UnionBasic Checking
Pelican State Credit UnionHorizon Checking
Southwest Louisiana Credit UnionFresh Start Checking

Maine

Five County Credit Union2nd Chance Checking

Maryland

Central Credit Union of MarylandRenew Checking
Clear Mountain BankStartFresh Checking
Market USA Federal Credit UnionFresh Start Checking
Security Plus Federal Credit UnionRevive Checking

Massachusetts

Alden Credit UnionNo Boundaries Checking
Athol Credit UnionFresh Start Checking
Washington Savings BankOnline Rewards Checking

Michigan

Credit Union OneBasic Checking
Horizon BankFresh Start Checking
Marshall Community Credit UnionFresh Start Checking
Members First Credit UnionFresh Start Checking
Michigan State University Federal Credit UnionRebuild Checking

Minnesota

Minnesota Valley Federal Credit UnionSecond Chance Checking
WESTconsin Credit UnionFoundations Checking

Mississippi

Citizens National BankClean Slate Checking
Gulf Coast Community Credit UnionNew Chance Checking
Magnolia Federal Credit UnionOpportunity Checking
MUNA Federal Credit UnionFresh Start Checking

Missouri

Alliance Credit UnionFreshStart Checking
The Bank of MissouriSelect 2 Checking
Columbia Credit UnionFresh Start Checking
Electro Savings Credit UnionFresh Start Checking
First State Community BankNew Opportunity Checking
Focus BankFresh Start Checking
Health Care Family Credit UnionFresh Start Checking
MobankOpportunity Banking
Montgomery BankMontgomery New Start Checking
St. Louis Community Credit UnionSecond Chance Checking
Town & Country BankOpportunity Checking
United Consumers Credit UnionSecond Chance Checking
United Credit UnionRestore Checking
Wood & Huston BankStartFresh Checking

Montana

Valley Federal Credit UnionOpportunity Checking

Nebraska

Central National BankNew Opportunity Checking
Western Heritage Credit UnionSimple & Free Checking

Nevada

Clark County Credit UnionCheckAgain Checking
WestStar Credit UnionFresh Start Checking

New Hampshire

We were unable to find any second chance checking accounts in New Hampshire. However, there are several national and regional banks in the list above that offer second chance checking to residents of New Hampshire.

New Jersey

Credit Union of New JerseyRight Turn Checking
Jersey Shore Federal Credit UnionFresh Start Checking
United Teletech Financial Federal Credit UnionFresh Start Checking

New Mexico

Bank of AlbuquerqueOpportunity Banking
Lea County State BankOpportunity Checking

New York

Alternatives Federal Credit UnionFresh Start Checking
Centra Credit UnionOpportunity Checking
Financial Trust Federal Credit Union2nd Chance Checking
Fulton Savings BankNew Opportunity Checking
Genesee Valley Federal Credit UnionFresh Start Checking

North Carolina

Alliance Federal Credit UnionFresh Start Checking
American Partners Federal Credit UnionEZ 4U Checking
Charlotte Metro Credit UnionFresh Start Checking

North Dakota

We were unable to find any second chance checking accounts in North Dakota. However, there are several national and regional banks in the list above that offer second chance checking to residents of North Dakota.

Ohio

Buckeye State Credit UnionSecond Chance Checking
Eaton Family Credit Union, Inc.2nd Chance Checking
Farmers & Merchants State BankClean Start Checking
Hopewell Federal Credit UnionRebound Checking
Kemba Federal Credit UnionFresh Start Checking
Members Trust Federal Credit UnionTrust and Alternative Checking
Sun Federal Credit Union: Fresh Start Checking
Superior Credit UnionFresh Start Checking

Oklahoma

Allegiance Credit UnionFresh Start Checking
Bank of OklahomaOpportunity Banking
Citizens Bank of EdmondFresh Start Checking
Oklahoma Educators Credit UnionFresh Start Checking
TTCU Federal Credit UnionFresh Start Checking
Weokie (Credit Union)Fresh Start Checking
Western Sun Federal Credit UnionFresh Start Checking

Oregon

Point West Credit UnionFresh Start Checking

Pennsylvania

Allegent Community Federal Credit UnionFresh Start Checking
Sun Federal Credit UnionFresh Start Checking
Utilities Employees Credit UnionSecond Chance Checking
West Branch Valley Federal Credit UnionBack on Track Checking
WSFS BankFresh Start Checking

Rhode Island

We were unable to find any second chance checking accounts in Rhode Island. However, there are several national and regional banks in the list above that offer second chance checking to residents of Rhode Island.

South Carolina

Caro Smart Financial SolutionsRebound Checking
Carolina Trust Federal Credit UnionEncore Checking
HopeSouth Credit UnionFresh Start Checking
Market USA Federal Credit UnionFresh Start Checking
Peach State Federal Credit UnionFresh Start Checking
Vital Federal Credit UnionFresh Start Checking

South Dakota

We were unable to find any second chance checking accounts in South Dakota. However, there are several national and regional banks in the list above that offer second chance checking to residents of South Dakota.

Tennessee

First National BankCredit Builder
Greater Eastern Credit UnionFresh Start Checking
Holston Methodist Federal Credit UnionSecond Chance Checking
Home Federal BankSquare One Checking
Select Seven Credit UnionSecond Chance Shardraft

Texas

Abilene Teachers Federal Credit UnionRestart Checking
Air Force Federal Credit UnionFresh Start Checking
Allied Federal Credit UnionFresh Start Checking
Associated Credit Union of Texas180 Checking
Bank of TexasOpportunity Banking
Baptist Credit UnionDraft Builder Checking
Chocolate Bayou Credit UnionClean Slate Checking
Diamond BankEncore Checking
First Service Credit UnionFresh Start Checking
Houston Metropolitan Federal Credit UnionFreedom-2nd Chance Checking
Kelly Community Federal Credit UnionSmart Choice Checking
Las Colinas Federal Credit Union2nd Chance Checking
MemberSource Credit UnionSelect Checking
Members Trust Federal Credit UnionSecond Chance Checking
Memorial Credit UnionNew Path Checking
Nascoga Federal Credit UnionFresh Start Checking
Neigborhood Credit UnionFresh Start Checking
North East Texas Credit UnionFresh Start Checking
Peoples BankSecond Chance Checking
Premier America Credit UnionFresh Start Checking
Prestige Community Credit UnionFresh Start Checking
Red River Credit UnionFresh Start Checking
Rio BankFresh Start Checking
Select Federal Credit UnionFresh Start Checking
Southside BankNext Checking
Tarrant County’s Credit UnionFresh Start Checking
United Heritage Credit UnionChoice Checking
Unity One Credit UnionClean Start Checking
Velocity Credit UnionAccess Checking

Utah

American United Federal Credit UnionFreshStart Checking
Cyprus Credit UnionFresh Start Checking

Vermont

We were unable to find any second chance checking accounts in Vermont. However, there are several national and regional banks in the list above that offer second chance checking to residents of Vermont.

Virginia

Central Virginia Federal Credit UnionFresh Start Checking
CommonWealth One Federal Credit UnionSecond Chance Checking
Healthcare Systems Federal Credit UnionRenew Checking
Member One Federal Credit UnionSmart Choice Checking
PortAlliance Federal Credit UnionSmart Choice Checking

Washington

MountainCrest Credit UnionFresh Start Checking

West Virginia

Clear Mountain BankStartFresh Checking
West Virginia Federal Credit UnionFresh Start Checking

Wisconsin

Brewery Credit UnionFresh Start Checking
Dane County Credit UnionRelationship Builder Checking
Educators Credit UnionFresh Start Checking
First National Bank and Trust CompanyRenew Checking
Marine Credit Union: Credit Builder Checking
Schneider Community Credit Union
Fresh Start Checking
Tomahawk Community BankFresh Start Checking
WESTconsin Credit UnionFoundations Checking

Wyoming

Greater Wyoming Federal Credit UnionFreshstart Checking
WyHy Federal Credit UnionSecond Chance Checking
WYO Central Federal Credit Union2nd Chance Checking
Valley Federal Credit UnionOpportunity Checking

Why should I open a second chance bank account?

If you’ve struggled to manage a bank account in the past, you may have racked up several negative marks on your ChexSystems report. A poor ChexSystems report can prevent you from opening a checking account with certain banks.

Not having access to a bank account can cause financial problems for many people. It can be hard to pay your bills and having to rely on cash or prepaid cards is unrealistic for most people. That’s why a second chance bank account can be so beneficial.

A second chance bank account allows you to rebuild your ChexSystems report. There may be certain restrictions on the account but if you can keep your account in good standing, you may be able to switch to one with more favorable terms in the future.

What should I do if my application to open a checking account is denied?

If you’ve recently been turned down for an application to open a checking account, it could be due to a poor ChexSystems report. ChexSystems keeps a record of negative banking history for up to five years.

Unfortunately, the banking industry varies greatly when it comes to second chance bank accounts. Some banks view consumers with poor ChexSystems reports as too much of a liability and don’t offer second chance bank accounts.

Other banks and credit unions are willing to offer second chance bank accounts but put heavy restrictions on the account to limit the financial liability. For instance, you may not have access to check writing privileges or have to pay a monthly fee.

If you’ve been turned down due to a ChexSystems report, your best course of action is to find a bank that is willing to work with you. Look for one that either doesn’t use ChexSystems or offers a second chance bank account.

How to Avoid Problems in the Future

Once you open a second chance bank account, you must focus on building good banking habits. This will prevent you from running into the same types of problems down the road.

Make sure you regularly check your account balance and closely monitor your transactions. This will help you avoid overdrawing your account.

If you can set up a savings account as a form of overdraft protection. This will not only keep your account in good standing but it’ll save you from paying hefty fees.

Signing up for a free class on financial management could help you learn the skills you need to effectively manage your bank accounts. In fact, the bank you open an account with may require you to sign up for this type of class.

Pros and Cons of Second Chance Bank Accounts

Pros

Here are some of the biggest advantages of opening a second chance bank account:

  • Can help you improve your ChexSystems report
  • More convenient than relying on cash or prepaid cards
  • Can help you avoid excessive bank fees
  • Build a positive banking relationship over time
  • You may be able to upgrade your account after keeping your account in good standing for a certain length of time.

Cons

Here are some of the downsides that come with a second chance bank account:

  • May come with costly monthly service fees
  • There will likely be a minimum account deposit
  • You may not have access to check writing privileges
  • Won’t help you improve your credit score
  • You maybe be required to take a financial management course

Bottom Line

A bad ChexSystems report doesn’t have to upend your life. By doing a little homework, you can find a second chance bank account designed to suit your needs and help you rebuild your banking history.

The account you choose may come with certain restrictions in the beginning. But if you can keep your account in good standing, you may be eligible to upgrade to a more favorable checking account in the future.

Chane
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