Is the neighborhood bank offering a generous cash bonus for new account holders? Too bad you don’t qualify because you’re in ChexSystems and can’t get approved for an account. Even worse, money’s tight and you need the extra funds to get through the upcoming holiday season. Or maybe you are looking to open a standard account so you can apply for a loan or credit card.
The good news is you may be able to get clear your ChexSystems record in time for the holidays.
Error or Factual Information?
This is the first question you must ask yourself to determine your next course of action.
Dealing with errors in ChexSystems
If you’re in ChexSystems due to a reporting error:
● Step 1: Get an updated copy of your ChexSystems Report. Were you denied because of what was in your report but you know for certain that your banking history is squeaky clean? Now’s the time to analyze the contents of your report to identify errors. To get a free copy of your report:
○ Go to ChexSystems.com.
○ Click on “Consumer Disclosure Report”.
○ Hit submit.
You should receive your report within five business days.
● Step 2: Review the report and highlight errors. You should also highlight any accounts that are over five years old as they should not be included in the report.
● Step 3: Complete a “Request for Investigation” form. You can mail it in or fax it to ChexSystems using the information listed below:
○ Fax number
● Step 4: Submit additional documentation as needed.
Unsure of how ChexSystems works or having trouble understanding your report? Take a look at this comprehensive guide from http://aaacreditguide.com/.
Dealing with accurate reports
What happens if there aren’t issues with your report? Maybe you’ve struggled with banking issues in the past but have turned a new leaf and gotten back on track. It’s still possible to get the negative remarks removed from your ChexSystems report.
Start by reaching out to the bank and inquiring about settling the account in exchange for removal from ChexSystems. But be sure to get the agreement in writing from the bank before forking over your hard earned cash so you’ll have a paper trail.
If the entry is a few years old, you can try filing a dispute to see if the bank will bother responding to your claim. There’s a chance they won’t bother responding in the allotted timeframe and your report will be cleared of negative information.
A Few More Tips
There’s a possibility that your dispute could get lost in the shuffle. Or maybe ChexSystems didn’t receive a response from the financial institution and are taking their time getting back to you. Either way, you have options:
● Request that negative reporting be removed since the 30-day timeframe has passed
● Confirm that ChexSystems added a note of dispute to your file within 30 days, even if your claim is still under investigation. Otherwise, they are in direct violation of the Fair Credit Reporting Act and the negative information must be removed.
Still no luck? Visit a branch and ask to speak with the manager. They may be able to override the rejection and open the account if you plead your case and they decide you’re worth the risk.
You can also try a credit union or community bank as they have lower barriers to entry and may be willing to work with you. And as a last resort, a second-chance bank account may be your best bet if you need to open an account right away. It’ll also help you establish positive banking history until you can clear up your ChexSystems account.
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