According to the New York Daily News, and many many others, New York's attorney general Eric Schneiderman has reached an agreement under which Capital One would stop using ChexSystems to screen out people who bounce checks, and instead, use it to screen out only serial fraudsters. I assume that means Capital One -- and maybe other banks, if they follow suit -- will start relaxing their checking approval standards for people whose checking problems stop at simple, rare overdrafts.
My question for you guys is, is that correct?
And second, to what extent does ChexSystems matter now? If you've bounced three checks in the last two years, is that currently grounds for denial of a checking account?
Gardening since May 2015
@user5387 wrote:I would suggest contacting banks that you're interested in, and ask them about Chex before applying. Tell them your situation, and ask if they'll approve.
There are also a variety of "second chance" checking accounts out there.
Thanks! My question, though, was more generic. I just have no idea what actually gets reported to Chexsystems, and can't seem to find a straight answer anywhere. This is really more of a curiosity thing.
@JennaD075 wrote:
@ACG23 wrote:
@user5387 wrote:I would suggest contacting banks that you're interested in, and ask them about Chex before applying. Tell them your situation, and ask if they'll approve.
There are also a variety of "second chance" checking accounts out there.
Thanks! My question, though, was more generic. I just have no idea what actually gets reported to Chexsystems, and can't seem to find a straight answer anywhere. This is really more of a curiosity thing.
In my experience with Chexsystems and working previously at banks we only reported when an account was closed for NSF and a negative balance and or fraud. Not for having 3 checks go NSF on an open account that the balance is taken care of and doesn't sit in a negative status that requires the bank to close the account.
Thanks Jenna! Wow. Given your experience, you're going to be an invaluable resource for people here. Thanks so much.