Closed bank account in Check Systems

[mochabean22]

Hello,

I have an overdrafted bank account that was just closed this month and now it has been reported to check systems. I was told by my bank that it will not be reported to my credit, however, it will stay on my "check systems" report for 5-7 years.

My question is, will this affect my husband and I from getting a mortgage loan? We are going to apply for pre-approval within the next month or two. Any help is greatly appreciated.

TIA

[Anonymous]

As long as you have a different account (as they do require recent bank statements) you should be OK.  Have you paid off the old account.  Eventually it will get sold off to collections (and who knows how long that will be) and if that happens it could end up on your credit.  Your bank won;t be the one reporting it so they did not pass that on. 

[mochabean22]

Yes, we do have another account with a different bank and we currently do all of our banking there with no overdrafts. I am in the process of paying them off as we speak. I was told by the "recovery department" at the bank that they will not send it to outside agency. It stays with the current bank and reported in Check Systems. I called back and another rep told me that I had 10 business days to pay this off from the date that it closed. So, I'm not really sure who to believe as far as it being on my credit report. I guess I just need to pay this off as soon as possible to avoid it "possibly" being on my credit.

Thanks for the response

[LindaLu]

How do you check to see if you are listed in check systems?

[Anonymous]

https://www.consumerdebit.com/consumerinfo/us/en/freereport.htm

You can get your free report here.  It comes by mail but it was pretty quick as I recall.