Want to open up a bank account with bad banking history haunting your tracks? What can you do? This is a question that many people are asking these days. The economy is in the dumps and people owe record amounts of money to the banks.
It can happen that you fall behind on your payments and before you know it your bank account is frozen. “Simple,” you think. “I’ll just open an account with another bank.” This is where the horrible truth hits you after you get rejected: if you have problems with one bank, you won’t be able to open a bank account with any bank.
This is because banks share their information through a central database that contains all the people who banks consider to be “risky” bank clients. If you find your name in this database, you are in serious trouble. You won’t be able to open a bank account with any bank.
This database is called Chex Systems. The goal of this network is to keep tabs on people who are not considered trustworthy.
Now, there are several ways around this. The first is that you can try to “improve” your Chex Systems credit. You can do this the following ways:
1. Don’t close any of your accounts. Keep all of your bank balances positive.
2. Make sure to pay off any overdraft fees
3. If you owe money on checks, pay them off!
Once you have done this, you can ask Chex Systems to insert an explanation. Will this actually work? Maybe or maybe not, but it’s worth a try. Another option is to open a special bad credit account for banking. A bad credit banking account can give you a second chance to establish a relationship with the banking world. However, that second chance will come at a cost – the second chance is expensive. You will pay very high banking fees.
Unfortunately, there are not too many other options out there for you to pursue. You either get a second chance banking account or don’t have an account at all. The later choice is not practical in today’s society.
Fortunately, you don’t have to have a bad credit second chance account forever. After having one for about a year, you can apply for a normal bank account and be virtually guaranteed of getting approval.