9 Banks That Don’t Use ChexSystems

Explore second-chance banking with these non-ChexSystems banks.

If you’ve had past financial mistakes come back to bite you and have been blacklisted by ChexSystems, you might also have been blocked from opening a bank account. You still have options, however, as not all banks use ChexSystems.

Some banks choose to ignore a bad credit report and give customers a second chance at maintaining a checking account. Non-ChexSystems checking accounts typically come with fees, but it’s the perfect way to get back in the game if you’ve had financial problems in the past. GOBankingRates identified a list of banks that don’t solely rely on ChexSystems to screen applicants. Bank accounts for bad credit do exist, you just need to know where to find the best second-chance banking accounts.

What Is ChexSystems?

ChexSystems, Inc. is a reporting agency that collects data from banks and credit unions on consumers’ checking and savings account activity. The company uses this information to create tools — including consumer reports — that financial institutions can use to screen potential customers.

The agency helps banks and credit unions screen potentially risky applicants by issuing reports that detail previous financial issues like overdrawn and closed accounts and unpaid debt. Once you’ve been flagged by ChexSystems, you might have a difficult time obtaining a bank account.

Banks That Don’t Use ChexSystems

If you have a few dings on your banking history, you’re in luck. Even though banks run credit checks on applicants, some banks don’t use ChexSystems, and some banks will access the reports but not make their decisions based solely on the information.

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Here are nine banks that don’t use ChexSystems:

1. TD Ameritrade

TD Ameritrade doesn’t use ChexSystems to screen applicants, but because it’s a brokerage, you’ll need to open a brokerage account before you can apply for a Cash Management checking account. Yes, you might actually be able to open a bank account online at TD Ameritrade with no deposit minimum and bad credit.

TD Ameritrade makes customer checking decisions on a case-by-case basis. Here are some of the perks of this account:

  • No monthly fees
  • Free debit card
  • Ability to pay bills online

Related: Best Brokers of the Year

2. Axiom Bank

Everyone deserves a second chance. That’s why Axiom offers second-chance banking and might overlook your report to provide you with a checking account. Headquartered in Central Florida, this community bank offers its Opportunity Checking account to those who have made previous financial mistakes.

The account features:

  • No minimum balance requirement
  • Debit card opportunity, subject to approval
  • $12.95 monthly service fee, reduced to $8.95 with direct deposit of any amount
  • $25 minimum opening deposit

3. Woodforest National Bank

Woodforest National Bank, a regional financial institution, offers its Second Chance Checking account to customers with a history of banking problems. Here are the details:

  • $25 minimum opening deposit
  • $9 set-up fee
  • Monthly fee of $9.95 with direct deposit, $11.95 without
  • Located in select states

Don’t Miss: 6 Reasons Ignoring Your Bank Statement Is a Huge Mistake

4. United Bank

A bad ChexSystems report is not a problem with United Bank, but the institution has limited locations in Alabama and Florida. United Bank’s Gateway Checking account includes:

  • $10 monthly maintenance fee
  • Online bill pay available for $4.95 per month
  • Mobile banking with check deposit
  • 24/7 telephone service and account alerts
  • Variety of check options available

5. Southwest Financial Federal Credit Union

The Texas-based Southwest Financial Federal Credit Union offers a checkless checking account, which might be an option if you have had trouble qualifying for a bank account. The account includes:

  • Free debit card
  • No monthly service fees
  • Online bill pay
  • Mobile banking
  • Overdraft protection with a savings account

Related: What’s the Difference Between a Credit Union and a Federal Credit Union?

6. Green Dot

Green Dot is an option if you’re looking for a checking account for bad credit. Green Dot’s reloadable, prepaid debit card does not use ChexSystems to screen customers.

“Neither a ChexSystems score nor credit bureau rating is used as the basis for determining customer eligibility,” said Lewis Goodwin, president and CEO of Green Dot Bank. Instead, Green Dot uses risk-modeling techniques that enable almost anyone above 18 years of age and who passes ID verification to open an account. Prepaid debit card details include:

  • Store purchase fees of up to $1.95
  • Free online purchases
  •  $7.95 monthly fee (unless you load $1,000 or more on the card during the previous monthly cycle)
  • Card reload fee of up to $4.95

7. Wells Fargo Opportunity Checking

Wells Fargo offers its Opportunity Checking to customers with negative ChexSystems reports. You’ll have to open the account at a local branch, but it includes everything you expect from a basic checking account, from online banking to easy bill pay. Other features include:

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  • $10 monthly fee (unless you make 10 debit card purchases, maintain a $1,500 daily balance or post a total of $500 in direct deposits per statement cycle)
  • $25 minimum opening deposit
  • Online banking
  • Easy bill pay

8. Capital One 360 Checking

Although the Capital One 360 account does consider your ChexSystems report, Capital One doesn’t base its approval on ChexSystems alone, according to eCHECK.org. Chances are, if you have a good credit score and have not committed bank fraud, you’ll be golden. Here’s what your account will come with:

  • No fees
  • No minimums
  • Free MasterCard debit card


BBVA is known for approving individuals with past ChexSystems issues for its free checking account, according to eCHECK.org. The bank offers the Easy Checking account, which gives a second chance who don’t qualify for a standard checking account. Here are the details:

  • No ATM fees at BBVA ATMs
  • $25 minimum opening deposit
  • $13.95 monthly service charge
  • Free online banking and mobile banking, with mobile deposit and online bill pay available
  • Free Visa debit card
  • Unlimited check writing

Next Up: What’s the Difference Between TeleCheck, ChexSystems and EWS?

Gabrielle Olya contributed to the reporting for this article. 

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About the Author

Lia Sestric is a Pittsburgh native and graduate from E.W. Scripps School of Journalism at Ohio University. Her bachelor’s degree is in Broadcast News. She has written and produced television news stories in the Los Angeles area and Charleston, S.C. In 2012, Lia began to freelance write on the side about higher education and careers for Yahoo! Finance. Lia is now based in the Washington, D.C. area and continues to work on national and local writing contracts. Her work frequently appears on major sites like Yahoo, The Huffington Post, MSN, Entrepreneur, Business Insider, USA Today, in addition to GOBankingRates. 

You can follow her on Twitter @liasestric and Facebook @LSHWrites. Lia can be reached by email lia.sestric@gmail.com.