Most people know that if they don’t pay their credit card or loan every month that it will show up on their credit report and make it difficult for them to get approved for credit in the future. However, some people don’t realize that mismanaging a savings or checking account could negatively affect their ability to get approved for a new checking or savings account. While savings and checking account activity won’t appear on a person’s credit file, it can appear on a database called ChexSystems which most banks and credit unions will report a person’s banking misconduct.
There are various types of banking misconduct that may show up on a individual’s ChexSystems report that include overdrawing a account and not repaying the negative balance, having a account closed involuntarily by a financial institution for not paying bounced checks and/or non-sufficient fund fees, and banking fraud.
The above information can stay on a person’s ChexSystems report for five years and paying any outstanding debt won’t get those bad marks removed from the report early unless the financial institution agrees to voluntarily delete it (most likely they won’t), although it will be noted that it was paid.
Unlike credit cards and loans that gets reported to the credit bureaus, positive information about a person’s banking history is not reported to ChexSystems. So, if a customer has never mismanaged their bank account, they most likely won’t have a ChexSystems report.
When a person submits a application to open a new savings or checking account, most credit unions and banks will run them through the ChexSystems database to see if they have any past misconduct with a previous bank account. Some banks and credit unions deny everyone that has a ChexSystems report, while other financial institutions may only deny those with certain types of activity, such as fraud.
People that are denied a bank account for having a poor ChexSystems report does not necessarily mean that they are blacklisted from banks and have to hide their money under their mattress. If your in need of finding a bank or credit union in the state of Florida that are offering programs such as fresh start or second chance checking accounts, then InfoAviator Publishing can help you locate them. Our staff along with our loyal viewers has created a real list of these financial institutions in Florida that can be reviewed at http://answers.infoaviator.org/?qa=324/looking-for-a-2nd-chance-bank-in-florida&show=324#q324. Additionally, consumers can view our staff certified nationwide list of genuine banks offering fresh start and second chance checking account programs at http://infoaviator.org/finance/checking-accounts/2014/05/28/how-to-open-a-second-chance-checking/.
InfoAviator Publishing is a organization determined to help the un-banked currently residing in the cities and townships of (but not limited to) Lauderdale Lakes, Royal Palm Beach, Palmetto Bay, Winter Park, Hallandale Beach, Palm Beach Gardens, Casselberry, Hialeah Gardens, Cooper City, Parkland, Panama City, Sebastian, Crestview, North Miami Beach, Ocoee, St. Cloud, Winter Springs, Doral, Bonita Springs, Fort Pierce, Pensacola, Key West, Winter Garden, Rockledge, Oviedo, Miami Lakes, North Lauderdale, Riviera Beach, Aventura, Tarpon Springs, Pinellas Park, DeLand, Cutler Bay, Ormond Beach, Plant City, Lake Worth, Winter Haven, Altamonte Springs, Temple Terrace, Jacksonville Beach, Dania Beach, Bradenton, Coral Gables, Clermont, Sunny Isles Beach, Brevard, Palm Beach, New Smyrna Beach, Greenacres, Oakland Park, and Dunedin in Florida, the sunshine state.