Have you been turned down for a checking account due to a negative banking history? If so, you’re not alone. Fortunately, there are alternative banking solutions that can help you move forward, even if your record with traditional banks isn’t spotless.
ChexSystems is a consumer reporting agency that monitors certain banking behaviors, such as unpaid fees, overdrafts, and account closures. A record in ChexSystems can remain active for up to five years, making it difficult to open new accounts, especially since about 80% of banks and credit unions in the U.S. use this system to evaluate applications.
American Express’s Policy on ChexSystems
If you’re considering applying for a checking account with American Express, you might be wondering if they check ChexSystems. Unfortunately, the answer is yes. American Express does use ChexSystems to screen potential applicants. This means that if your ChexSystems report contains negative information, it could impact your ability to open an account with them.
Why ChexSystems Matters for Your Banking Future
Since many banks rely on ChexSystems to review applicants, a negative entry in your report could restrict access to standard banking services. Issues like unpaid fees, frequent overdrafts, or closed accounts are often flagged and can remain on your report for up to five years, limiting your financial options. It’s essential to know that, despite these challenges, there are still opportunities to open new accounts.
Alternatives to American Express That Don’t Use ChexSystems
Even though American Express relies on ChexSystems, there are plenty of banks and credit unions that do not. Here are some great alternatives to consider:
U.S. Bank
- Up to $400 sign-up bonus
- $25 minimum opening deposit
- Monthly service fee can be waived
- Over 40,000 fee-free ATMs
SoFi
- Up to $300 sign-up bonus with direct deposit
- No minimum opening deposit
- Earn up to 3.80% APY
- Over 55,000 fee-free ATMs
- Early pay with direct deposit
Current
- Build credit and earn points with every swipe
- No minimum opening deposit or maintenance fees
- Get paid up to 2 days faster
- No credit check or ChexSystems
Learn More
- Banks That Don’t Use ChexSystems – Take the first step to rebuilding your banking history with our list of banks that do not use ChexSystems for account approval.
- Credit Unions That Don’t Use ChexSystems – Find a credit union that will work with you, not against you. Learn about the credit unions that don’t use ChexSystems.
- Am I in ChexSystems? – Unsure if you’re in ChexSystems? Learn how to find out and take control of your financial status.
- How to Get Out of ChexSystems – Learn how to get out of ChexSystems in four simple steps.
- Second Chance Checking Accounts – Take control of your financial future with our list of over 250 banks that offer second chance checking accounts.
