While ChexSystems is a credit reporting agency much like Experian, Equifax or TransUnion, many people have never heard of them until they are barred from opening a bank account or have their accounts closed out of the blue.
Unlike the other consumer reporting agencies that report positive information along with negative items, ChexSystems contains only negative information – therefore any record with ChexSystems may harm your ability to open or maintain a bank account for up to 5 years.
Fortunately, you can dispute and request verification from ChexSystems and the banks in the same way as other credit reporting agencies. If information cannot be verified, it must be removed from your ChexSystems file. You may order a free copy of your ChexSystems report yearly or at any time you are denied the ability to open a bank account.
The following letter is a template for you to use when disputing negative information on your ChexSystems file. Please note that this letter does not constitute legal advice – it is only provided as a starting point for your own ChexSystems dispute efforts.
[Your Street Address]
[City, State, ZIP CODE]
ChexSystems Consumer Relations
7805 Hudson Road
Woodbury, MN 55125
RE: Consumer ID # (retrieve this number from your ChexSystems report)
To Whom It May Concern:
It has been brought to my attention that [name of bank] has listed [negative listing] on my ChexSystems file, dated [month/year].
To my knowledge, I have never had [negative listing] with [name of bank]. I am therefore writing to request full validation of this debt as is my right underneath the Fair Credit Reporting Act.
Specifically, I am requesting full validation from [name of bank] including copies of any documentation associated with this [negative listing] which bear my signature.
In the absence of such documentation, I request that this [negative listing] be permanently removed from my ChexSystems report.
For your records, my contact information is as follows:
[Your Name] (make certain it is printed or typed; do not provide a copy of your signature)
[City, State ZIP CODE]