If you’ve been denied a checking account because of a negative banking history, it can be challenging to find alternatives. ChexSystems is a consumer reporting agency that tracks banking activity like unpaid fees, overdrafts, and closed accounts. These records can stay on file for up to five years, which may impact your ability to open new accounts during that time.
How ChexSystems Affects Your Access to Banking
Around 80% of banks and credit unions in the U.S. use ChexSystems when reviewing account applications. A negative report can lead to denied applications, limiting your access to traditional banking services. Despite this, some financial institutions do not rely on ChexSystems and may offer second chance accounts, giving people an opportunity to rebuild their banking history.
South State Bank and ChexSystems
Unfortunately, South State Bank does use ChexSystems when evaluating new checking account applications. If your ChexSystems report contains negative information, your application may not be approved. However, this doesn’t mean you are out of options—many other banks and credit unions provide more flexible solutions without relying on ChexSystems.
If South State Bank’s ChexSystems policy doesn’t work for your situation, consider exploring banks that do not use ChexSystems for their account approval process:
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.
