A how-to video by Daniel Rosen explaining how ChexSystems (a consumer reporting agency) can cause bank account denials and how consumers can find, review, and dispute their ChexSystems consumer disclosure report. Rosen outlines concrete steps: request the report from ChexSystems, download and send a dispute letter (template available at creditrepaircloud.com), or if the debt is valid arrange payment and submit proof of settlement; he also suggests Second Chance checking accounts and best practices to avoid future listings.
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Hey, credit heroes. Ever had a new bank account denied and wondered why overdrawing or bouncing a check can secretly hurt your credit? Thanks to Check Systems? So in this video, I'm going to show you how to find and dispute your check systems report with a removal letter that I'm going to give you for free. So you better stick around. My name is Daniel Rosen and welcome to Credit Repair Business secrets. In the 20 years since releasing my first credit repair software, I've helped thousands of businesses scale from the ground up. And I've experienced many of the same challenges that credit heroes face. And I've learned proven ways to overcome them and succeed. Bad credit doesn't just show up as a number on your credit report. No, it can have an impact in all kinds of ways in your life. Sometimes it's directly related to your credit score or but sometimes it's related to financial habits that may have messed up your credit to begin with. Like Chex Systems. You probably hadn't heard of them unless you or someone you know has had a personal experience with them. Shex Systems is a consumer reporting agency regulated by the Fair Credit Reporting act that reports information on the use of checking accounts by consumers. But they only report negative information that can make it very difficult to open an account with a bank or a credit union. And if you're trying to get your finances back on track, opening a bank account can be a huge part of that. Ignoring this part of Credit Repair means missing a huge part of the overall puzzle and path to financial freedom. Here's how this relates to us. There are a number of reasons that can land you in check systems. If you have repeated overdrafts or unpaid fees. If you have bounced a few checks and didn't make good on them. If you leave an account with a negative balance, if you apply for multiple bank accounts in a short period of time, or if there's suspected fraudulent activity or identity theft associated with your account. A few years ago, I gave a check to a friend of mine and we went to the bank together for him to open a checking account. And I went along so that I could show them my ID to prove that I was the one who had given him the check. But they denied him the account. And that was really weird. But then they got even weirder and they asked me to leave so that they could tell him alone why he was being denied an account. And when I asked him later what happened, he was really embarrassed about it. But in the end it turned out that he had bounced a check and and he was listed on check systems, but once he took care of it, which was really easy, then he was finally able to open the account. Here's why this is important. Being listed in check systems is like being on a no fly list. But instead of not being able to get on a plane, you may get denied when you try to open a new bank account or you may have to pay a fee to do so. But just like your credit report can and probably does have errors and your check system report can also have errors which can lead to being denied a bank account. And that's why it's critical to review your report and correct any errors. Here's what you need to know if you've been denied an account and chexsystems was used in the decision process, you can request a consumer disclosure report to help understand the decision and find out if you're listed in chexsystems. Here's what to do. Go to checksystems.com click on request your report and fill out all the necessary information and then choose whether you want the report by mail or online. When you review your ChexSystems Consumer Disclosure Report, you may see information that's either incorrect or over five years old. And if that's the case, you're going to want to dispute those immediately to remove the negative marks. And that's when you should download a free sample dispute letter template for Chex Systems. You can get it free at creditrepaircloud.com dispute letters checks with an X system in that dispute letter, you're going to want to be specific about the items in the report that you're disputing, along with dates and institution names. Quote the relevant section of the Fair Credit Reporting act pertaining to credit agencies and and request an investigation. And what if the information in your ChexSystems report is true? For example, if it's about a check that bounced, contact the bank or financial institution that reported the debt and arrange payment. And then once the debt is paid, ask them for a letter confirming that the debt has been settled. And once you have that letter, send a copy of it to chexsystems along with our same dispute letter and@creditrepaircloud.com dispute letterschecks system and if you're not able to pay off the debt and you really need to open a checking account, you can also apply for a Second Chance checking account that doesn't use check systems. Examples are Capital One, Wells Fargo, and many more. You can Google Second Chance checking to get a whole list. Here's my final point. Really, the best way to avoid getting caught up in check systems is to be a great banking customer. Stay persistent in paying down your debt and pay any bank charges as soon as they arise and try to avoid overdraft or bounced checks. A pattern of mishandling accounts can make it really hard to open new ones in the future, but sometimes legitimate errors and outdated records do end up on your check systems file. So knowing how to request, review and dispute any check systems errors is really important to your whole financial health. So don't let this database become a roadblock as you work towards your money goals. And if you want to learn more about disputing credit report issues using our templates, check out my podcast on removing bankruptcies where I also provide free templates. And if you'd like to improve your credit score and discover how to earn extra income repairing Credit for others, check out my brand new Start Repairing Credit Challenge. Doors are closing soon and it is completely free so sign up right now at startrepairingcredit. Com and keep changing lives.
