topic Re: Denied Chase Checking Account in Personal Finance

Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 14:26:30 GMT

In August 2018 (2 Months ago), I applied for another Chase Credit Card which was approved with a $3600 CL. I already have another Chase Card with a $10,000 CL. I decided that since I had 2 Chase credit cards that I would apply for a bank account. I was sure I would be approved but of course I was rejected. They gave me the line that they used information in my Experian credit report. I wish that they could have been specific about why they rejected me.

My Experian credit score was 780 at the time with 1 of the others 2 at 810. It kind of annoyed me that they will give me almost $14000 in credit but they won’t approve a simple bank account. I’ve had a Credit union account for 16 years with no problem. The only possible negative on Experian was getting an Amazon Store Card, Samsung Financing, Exxon Mobil Credit Card and the newChase Card. Either way it had very limited impact on Credit Score.

There is one other possibility. I get paid in Cash. I would rather get a check but my boss pays cash because some of the other people who work for him have poor credit and such. I don’t know if the banking credit reports show whether you make Cash deposits or not. I know Chase does not like Cash deposits.

Its not really a big deal as I didn’t need the account, it’s just annoying to not know specifically why they rejected me.

Re: Denied Chase Checking Account

tcbofade — Fri, 12 Oct 2018 14:53:32 GMT

@Anonymous wrote:
In August 2018 (2 Months ago), I applied for another Chase Credit Card which was approved with a $3600 CL. I already have another Chase Card with a $10,000 CL. I decided that since I had 2 Chase credit cards that I would apply for a bank account. I was sure I would be approved but of course I was rejected. They gave me the line that they used information in my Experian credit report. I wish that they could have been specific about why they rejected me.

My Experian credit score was 780 at the time with 1 of the others 2 at 810. It kind of annoyed me that they will give me almost $14000 in credit but they won’t approve a simple bank account. I’ve had a Credit union account for 16 years with no problem. The only possible negative on Experian was getting an Amazon Store Card, Samsung Financing, Exxon Mobil Credit Card and the newChase Card. Either way it had very limited impact on Credit Score.

There is one other possibility. I get paid in Cash. I would rather get a check but my boss pays cash because some of the other people who work for him have poor credit and such. I don’t know if the banking credit reports show whether you make Cash deposits or not. I know Chase does not like Cash deposits.

Its not really a big deal as I didn’t need the account, it’s just annoying to not know specifically why they rejected me.

Really?

That's the first I've heard of ANY bank not liking cash deposits.

Do you have any negative items on your Chex report? Bounced checks, overdrafts, too many new checking accounts recently?

I'd suspect a problem with actual banking instead of credit...

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 14:53:58 GMT

Did you decline overdraft protection? I'm surprised a checking account would be denied based on Ex instead of EWS.

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 15:27:45 GMT

I did not check my Chex report. I only have a credit union checking account and a Fidelity Checking account. No bounced checks. I used to use my credit union overdraft as all I was charged was the interest. Haven’t used it recently unless I absolutely needed to.

I think I did apply for overdraft, which I know I shouldn’t have as I never would have used it if I had to pay a fee to use it.

What info is included on the Chex reports? I don’t know why they didn’t tell me it was from on of the Checking reports instead of Experian.

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 15:37:52 GMT

Chase is required by law to send you a Notice of Adverse Action by mail explaining how they arrived at their decision, and the source of the information they used. Did you get a letter from them? Its doubtful that their decision is based on a credit report since the three major credit bureaus don't typically collect information on your banking history.

Chase is one of the original members of the Early Warning Systems (EWS) consortium so you should check your EWS report and also your Chex Systems report. Those are the reports they usually look at when deciding whether or not to approve a checking account.

Re: Denied Chase Checking Account

Revelate — Fri, 12 Oct 2018 15:38:51 GMT

@tcbofade wrote:
@Anonymous wrote:
In August 2018 (2 Months ago), I applied for another Chase Credit Card which was approved with a $3600 CL. I already have another Chase Card with a $10,000 CL. I decided that since I had 2 Chase credit cards that I would apply for a bank account. I was sure I would be approved but of course I was rejected. They gave me the line that they used information in my Experian credit report. I wish that they could have been specific about why they rejected me.

My Experian credit score was 780 at the time with 1 of the others 2 at 810. It kind of annoyed me that they will give me almost $14000 in credit but they won’t approve a simple bank account. I’ve had a Credit union account for 16 years with no problem. The only possible negative on Experian was getting an Amazon Store Card, Samsung Financing, Exxon Mobil Credit Card and the newChase Card. Either way it had very limited impact on Credit Score.

There is one other possibility. I get paid in Cash. I would rather get a check but my boss pays cash because some of the other people who work for him have poor credit and such. I don’t know if the banking credit reports show whether you make Cash deposits or not. I know Chase does not like Cash deposits.

Its not really a big deal as I didn’t need the account, it’s just annoying to not know specifically why they rejected me.
Really?

That's the first I've heard of ANY bank not liking cash deposits.

Do you have any negative items on your Chex report? Bounced checks, overdrafts, too many new checking accounts recently?

I'd suspect a problem with actual banking instead of credit...

Speaking of my hood and the Chase branch here and simply observing the people in line, and seeing how the local community organization that I'm the wayward treasurer of gets paid as well for another datapoint, Chase doesn't have a problem transacting in cash.

Market wise, if Chase has a problem with cash, those cash deposits will just walk across the street and get dropped into the BOFA branch.

No bank is that foolish, everyone wants more deposits.

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 15:40:14 GMT

I did receive it and it listed Experian as the credit agency.

"Thank you for your interest in opening an account with us. Unfortunately, we have decided not to open an account for you now, based on information contained in your consumer report(s) from the consumer reporting agency(ies) listed below."

I just wish they could say the reason I.e. too many bounced checks, too many checking accounts, too many cash deposits, etc.

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 15:55:40 GMT

I still think its not based on your Experian credit report but getting your report is simple. Just go to the Experian website and sign up for a new account; google "Experian dispute" to find the website.

BTW, did you change your address recently?

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 16:10:12 GMT

Have lived in same place over 10 years.
I have requested my Chex report.
How different would Experian report directly from Experian be from what I see as a Myfico subscriber?
I'm thinking most likely it was something in my banking report and not my credit report and Chase being Chase they probably just lied about which report they used to base the decision.

Re: Denied Chase Checking Account

rbentley — Fri, 12 Oct 2018 16:40:38 GMT

@Revelate wrote:
@tcbofade wrote:
@Anonymous wrote:
In August 2018 (2 Months ago), I applied for another Chase Credit Card which was approved with a $3600 CL. I already have another Chase Card with a $10,000 CL. I decided that since I had 2 Chase credit cards that I would apply for a bank account. I was sure I would be approved but of course I was rejected. They gave me the line that they used information in my Experian credit report. I wish that they could have been specific about why they rejected me.

My Experian credit score was 780 at the time with 1 of the others 2 at 810. It kind of annoyed me that they will give me almost $14000 in credit but they won’t approve a simple bank account. I’ve had a Credit union account for 16 years with no problem. The only possible negative on Experian was getting an Amazon Store Card, Samsung Financing, Exxon Mobil Credit Card and the newChase Card. Either way it had very limited impact on Credit Score.

There is one other possibility. I get paid in Cash. I would rather get a check but my boss pays cash because some of the other people who work for him have poor credit and such. I don’t know if the banking credit reports show whether you make Cash deposits or not. I know Chase does not like Cash deposits.

Its not really a big deal as I didn’t need the account, it’s just annoying to not know specifically why they rejected me.
Really?

That's the first I've heard of ANY bank not liking cash deposits.

Do you have any negative items on your Chex report? Bounced checks, overdrafts, too many new checking accounts recently?

I'd suspect a problem with actual banking instead of credit...
+1

Speaking of my hood and the Chase branch here and simply observing the people in line, and seeing how the local community organization that I'm the wayward treasurer of gets paid as well for another datapoint, Chase doesn't have a problem transacting in cash.

Market wise, if Chase has a problem with cash, those cash deposits will just walk across the street and get dropped into the BOFA branch.

No bank is that foolish, everyone wants more deposits.

Chase will allow the account owner to deposit cash into their account, but does not allow 3rd parties to deposit cash into your account, even if they have the account number.

https://www.huffingtonpost.com/mybanktracker/chase-stops-cash-deposits_b_5568830.html

Re: Denied Chase Checking Account

tcbofade — Fri, 12 Oct 2018 17:05:04 GMT

@Anonymous wrote:
I did not check my Chex report. I only have a credit union checking account and a Fidelity Checking account. No bounced checks. I used to use my credit union overdraft as all I was charged was the interest. Haven’t used it recently unless I absolutely needed to.

I think I did apply for overdraft, which I know I shouldn’t have as I never would have used it if I had to pay a fee to use it.

What info is included on the Chex reports? I don’t know why they didn’t tell me it was from on of the Checking reports instead of Experian.

I am NOT being unkind, but I think that I highlighted your difficulty above.

Each time you overdraft the account, it reports to Chexsystems, EWS, etc...as a ding...even if you pay it back in full with interest.

Too many dings will cause the next bank to not want to open a checking account for you.

Re: Denied Chase Checking Account

Anonymous — Fri, 12 Oct 2018 18:09:43 GMT

A person who's previous bank accounts have involved frequent large cash deposits (with no standard payroll deposits) could easily trigger algorithms that run in a bank's background to detect money laundering or other kinds of criminal use. Drug dealers don't get paychecks deposits in their account -- they have patterns of large cash deposits.

Chase is known to be exceptionally worried about this kind of stuff. If anyone is curious to read more about it, there's an interesting post here in the forum from last month by one of our moderators:

https://ficoforums.myfico.com/t5/Credit-in-the-News/Banks-are-keeping-closer-tabs-on-your-reputation-than-ever/td-p/5359233

I have no opinion about whether this applies to the specific case of our OP... just suggesting that indeed what he initially describes (no standard payroll deposits, large and frequent cash deposits) can indeed be something that banks look at.

Re: Denied Chase Checking Account

Civil — Tue, 16 Oct 2018 03:50:04 GMT

Not sure if you tried to open an account online but I also got denied online, so I went to the nearest branch and was approved for a checking account.

Re: Denied Chase Checking Account

CivalV — Fri, 19 Oct 2018 18:03:02 GMT

About 8 years ago I opened my first checking account with HSBC. I received a check & tried to deposit the check. I had no clue it was a fake check. Although I did not touch the money, HSBC closed my bank account & I got put into the Chex1 system. At that point I tried to apply for a Chase checkings and was denied. They stated I was in the Chex system and it wouldnt come off my report for 7 years... 5 years after that it came off and I applied last year for a chase account. I was finally approved smh

I would ask for more information and hopefully you can try to reapply in a couple of months.

Re: Denied Chase Checking Account

MyDataMyChoice — Sat, 20 Oct 2018 02:58:08 GMT

OVERDRAFTING you accounts does not get reported to chexsystems
ESPECIALLY if you have an overdraft LOC or linked credit card (as you can assume OP does as he said he pays interest)

It MAY get reported to EWS but shouldn't be reported negative.

Re: Denied Chase Checking Account

MyDataMyChoice — Sat, 20 Oct 2018 02:58:30 GMT

Chexsystems will report bounced checks... and accounts closed due to negative balance

Re: Denied Chase Checking Account

krielly — Tue, 23 Oct 2018 17:57:54 GMT

You mentioned 5 recently opened cards/accounts. I don't know about their bank accounts, however they (Chase) are known to decline credit card approvals (regardless of your score) if you have opened 5 or more accounts in recent history.

Because you said you applied for the overdraft protection as well (which is basically another line of credit), this may be the reason for the denial.

Re: Denied Chase Checking Account

Anonymous — Tue, 23 Oct 2018 18:31:57 GMT

I wasn’t sure if checking accounts did apply in Chase’s 5/24 Rule or not.

I did receive my ChexSystem report and besides my name, address and birthdate, everything else said no information found.

Well at least I didn’t need the account. I just thought it odd to give me so much in credit but that they wouldn’t give a simple checking account.

Re: Denied Chase Checking Account

expatCanuck — Thu, 25 Oct 2018 01:50:16 GMT

@Anonymous wrote:
In August 2018 (2 Months ago), I applied for another Chase Credit Card which was approved with a $3600 CL. I already have another Chase Card with a $10,000 CL. I decided that since I had 2 Chase credit cards that I would apply for a bank account. I was sure I would be approved but of course I was rejected. They gave me the line that they used information in my Experian credit report. I wish that they could have been specific about why they rejected me.

My Experian credit score was 780 at the time with 1 of the others 2 at 810. It kind of annoyed me that they will give me almost $14000 in credit but they won’t approve a simple bank account. I’ve had a Credit union account for 16 years with no problem. The only possible negative on Experian was getting an Amazon Store Card, Samsung Financing, Exxon Mobil Credit Card and the newChase Card. Either way it had very limited impact on Credit Score.

There is one other possibility. I get paid in Cash. I would rather get a check but my boss pays cash because some of the other people who work for him have poor credit and such. I don’t know if the banking credit reports show whether you make Cash deposits or not. I know Chase does not like Cash deposits.

Its not really a big deal as I didn’t need the account, it’s just annoying to not know specifically why they rejected me.

Do you by any chance have your credit reports frozen? (I was just denied for an account; I have my reports frozen and EX showed no INQ.)

Re: Denied Chase Checking Account

Anonymous — Thu, 25 Oct 2018 04:37:47 GMT

At the time I didn’t have reports frozen.

I froze them only a couple weeks ago. I believe I will have to unfreeze in a few days for Myfico to pull my monthly credit report.

I just think more than likely Chase just hasn’t changed despite paying a fine to the government for not adequately giving info on why people were rejected.