Chexsystems Sample Dispute Letter

ChexSystems provides an information service to the banking industry. They maintain a database that keeps track of negative information regarding checking and savings accounts. Banks report to Chexsystems the names of people who they feel have mishandled an account.

When someone attempts to open a checking account. Banks who are members of Chexsystems, will run a check on the new perspective customer to see if that individual has had: frequent account overdrafts… bounce checks… did something banks consider as an “act of fraud” or otherwise have an unpaid balance owed to another bank on a closed account.

If it comes back that there is a Chexsystems report then that person will most likely be denied the account. Many banks are members of Chexsystem, so it may be a challenge to find a checking account no chexsystems.

Critics complain that many banks use ChexSystems indiscriminately, weeding out not only checking-account applicants who intend to commit fraud, but also law-abiding people who wrote a bad check or two by mistake. They want Congress to specify which offenses merit reporting to the agency. A negative ChexSystems report stays in their database for five years and can make it really difficult to get another checking account for that period. It is estimated that over 80% of the banks in the U.S. are members of Chexsystems. Therefore it is difficult to find a checking account no chexsystems. In addition to this, it is estimated that nearly 8 million people have Chexsystems reports.

It is very important to know that ChexSystems only maintains the database of names! The decision of whether, or not, to deny someone from opening a bank account is strictly up to the individual bank, and their policies.

Below are basic steps you can follow and
a sample Chexsystems Dispute Letter:

1. Order a free copy of your ChexSystems report.
   Order Chexsystems Report Online
   Once you receive your Chexsystems report. Look over your report, and make notes of all incorrect information.
2. Type up your dispute letter. (Remember to keep a copy for yourself)Sample Dispute Letter to ChexSystems:

   Date: xx/xx/xxxxx

   ChexSystems, Inc.
   Attn: Consumer Relations
   7805 Hudson Road, Suite 100
   Woodbury, MN 55125

   To Whom It May Concern: I was recently denied a bank account based on the information that ChexSystems maintains under my name and Social Security Number. Upon ordering a copy of my ChexSystems report, I noticed the following entry reported by Wells Fargo Bank: Source of Information: Wells Fargo Bank – Los Angeles, CA
   Reported Name: John Smith
   Reported Address: 123 ABC Street, CA 54321
   Reported SSN/ID: ???-??-????
   Drivers License: ?????????
   State: CA
   RTN: ?????????       Account #: ?????????
   Date Reported: 01/01/2005
   Reported For: Non-Sufficient Funds (NSF) Activity
   Original Charge Off Amount: $150.00

   I have no knowledge of such an account, and it may have been reported due to error or identity theft.

   Please validate this information with Wells Fargo Bank and provide me with copies of any documentation associated with this bank account bearing my signature. In the absence of any such documentation bearing my signature, I ask that this information be immediately deleted from the file you maintain under my name and Social Security Number.

   Here is my contact information:

   Your Name
   SSN: ???-??-????
   Consumer ID: ?????????
   Your Address

   Sincerely,
   Your Name

3. Mail out your dispute letter via certified postal mail. Certifying your mail is vital to disputing any ChexSystems or credit report because it keeps a documented paper-trail of important dates. ChexSystems is allowed 30 days to respond to your dispute letter from the date they receive it. If you do not receive a response within that allotted time period, ChexSystems is under grounds to remove your record altogether. (Remember to keep all receipts from the post office)
4. If ChexSystems responds, and they claim to have correct and verifiable information about you, you can respond with another dispute letter. In the letter, ask them about the procedures involved in obtaining your personal information. Also, request the name, title, and phone number of the person they contacted in order to verify your information. By law, they must disclose this information to you. Afterall, you do have the right to know who reported you, and under what conditions.
5. If the response comes back with all the information you’ve requested, verify the information yourself. Make sure everything checks out with the source of the information. Ask them for documented evidence that bears your signature. You may be able to prove your innocence if there are signs of foul play or identity theft.If ChexSystems responds with no disclosed information, you may have to take matters to a higher authority. You can file a complaint with the Federal Trade Commission (FTC)..
   .Consumers Info USA
   809 Aberdeen Rd  Drawer 9001
   Hampton VA 23670

   We are NOT Chexsystems! This website is in no way affiliated with Chexsystems. Our company helps people who are in Chexsystems get new bank accounts!