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10 Best Second Chance Checking Accounts in the U.S.
Banks and credit unions can check your banking history against the records maintained by ChexSystems, TeleCheck, and Early Warning Services. If you are listed in any of these databases, you may be turned down for a checking account.
These records are maintained for a period of five years. So, waiting for your entries to be cleared is not a practical option. You need a checking account, and you need it now.
Fortunately, there are banks and credit unions that offer second chance checking to customers with a poor banking history.
10 Best Second Chance Bank Accounts for 2025
Below is a list of our top recommended second chance checking accounts for people looking for a fresh start. These second chance checking accounts offer guaranteed approval and come with the lowest fees, and great features and benefits.
Subject to certain terms and limitations. Offer valid through May 6, 2025. Member FDIC.
Offer may not be available if you are an existing U.S. Bank customer or live outside of the U.S. Bank footprint.
The checking account comes with a free debit card and the option to lock or unlock the card if it’s ever lost or stolen.
Plus, you’ll never have to worry about ATM transaction fees at U.S. Bank ATMs or surcharge fees at over 40,000 MoneyPass Network ATMs.
U.S. Bank uses ChexSystems, but it has a history of being more lenient with records than most banks.
As long as you don’t have a history of fraud, or you don’t owe any money to U.S. Bank, you may be able to open a checking account with them.
The minimum opening deposit for this account is just $25, and the monthly service fee is $6.95. However, you can avoid the monthly fee by maintaining a minimum balance of $1,500 or by having a minimum monthly direct deposit of $1,000.
Sign-up bonus: Up to $300 with qualifying direct deposits
No monthly fee
Earn up to 3.80.00% APY on savings
Over 55,000 fee-free ATMs
The SoFi Checking and Savings account offers numerous advantages, such as no overdraft fees, no balance requirements, and no monthly fees.
Additionally, account holders have access to 55,000 ATMs with no fees through the Allpoint® Network. Those who set up direct deposits can earn up to 3.80.00% APY on their savings and 0.50% on checking accounts.
Furthermore, with direct deposit, you can receive your paycheck up to 2 days early.
Current is a financial technology company, not a bank. The company does not use ChexSystems or pull your credit report, and they have a lot to offer.
With Current, your everyday purchases can now shape your financial future. Simply by swiping your debit card, you can build credit. No loans or credit checks needed. There are also no monthly or annual fees for this service.
A Current mobile bank account includes fee-free overdraft protection of up to $200. Account holders also get access to over 40,000 fee-free Allpoint ATMs with your Current debit card, and there are no hidden fees.
You can also get paid up to two days early with direct deposit with a Current Premium account. Plus, Current offers up to 4.00% APY with Current Savings Pods.
With Chime®, bad banking history is not an issue. They offer an award-winning financial app, a debit card, and a credit builder Visa® credit card, all with no credit check.
The Chime Checking Account is free and has no monthly fees:
no monthly maintenance fees
no foreign transaction fees
no balance requirements
You can also start building your credit with the Secured Chime Credit Builder Visa® Credit Card7. It’s a secured credit card with no annual fees, no credit checks, and no interest charges.
Chime has over 60,0001 fee-free MoneyPass® and Visa® Plus Alliance ATMs. Plus, you can get your paycheck up to 2 days earlier with direct deposit2. You can also deposit cash for free at over 8,500 Walgreens.
GO2bank, a neobank provided by Green Dot, an established financial technology company. Customers can open a checking account with subaccounts called vaults, all without requiring a minimum balance.
Furthermore, GO2bank offers a competitive 4.50% APY on savings accounts for up to $5,000 in savings. Customers can easily access their funds at 90,000 retail locations for cash deposits and 19,000 fee-free ATMs.
In addition, customers can receive their pay up to 2 days early and government benefits up to 4 days early with direct deposit.
Customers can opt for overdraft protection of up to $200 with eligible direct deposits, providing them with peace of mind.
GO2bank also provides the GO2bank Secured Visa Credit Card, which can assist customers in building their credit over time through responsible use.
The monthly fee of $5 is waived when customers receive payroll or government benefits via direct deposit in the previous monthly statement period.
Chase offers a checking account called Chase Secure Banking. The checking account comes with a Chase debit card that gets you access to over 16,000 fee-free ATMs.
Some features of this checking account include free online bill pay, free money orders and cashier’s checks, no overdraft fees, and no minimum opening deposit. However, there is also a monthly service fee of $4.95.
When you open a Chase Secure Banking account and make 10 qualifying purchases within 60 days, you’ll get a $100 cash bonus.
Account approval is immediate, and the debit card typically arrives within days.
No monthly fee with direct deposit of $500 or more
Earn cash back on Walmart purchases
Overdraft protection up to $200 with opt-in & eligible direct deposit
Earn 2.00% APY on savings
The Walmart MoneyCard serves as a compelling alternative to conventional checking accounts, designed as a prepaid debit solution.
One of its standout features is the cash back offering, where users can earn 3% for purchases made on Walmart.com, 2% when filling up at their fuel stations, and an additional 1% for in-store transactions. However, these cashback rewards have an annual limit, capped at $75.
Another notable advantage is its overdraft protection. By opting in and setting up direct deposits, users can benefit from up to $200 in overdraft coverage.
In terms of fund accessibility, the ASAP Direct Deposit feature is quite handy. It not only ensures that users get their salaries two days earlier, but also expedites the receipt of other benefits.
On the savings front, the card doesn’t disappoint. It offers an impressive 2.00% APY, encouraging cardholders to save more. Moreover, users have a chance to win monthly cash prizes, adding a fun twist to the savings experience.
In terms of costs, there’s a monthly fee of $5.94. However, Walmart understands the value of consistent transactions, so they’ll gladly waive this fee if the cardholder had direct deposits totaling $500 or more in the preceding month.
Monthly service fee as low as $9.95 with direct deposit set up
No ATM fees at Woodforest ATMs
Flexible overdraft options
Woodforest National Bank offers a second chance bank account to members at over 700 branches in 17 states.
The minimum opening deposit is just $25, and you’ll also have to pay a one-time setup fee of $9.
It also comes with a monthly fee of $11.95. You can get it reduced to $9.95 by enrolling in direct deposit. Another small fee is a paper statement fee of $3 per month. It can be waived completely by signing up for e-statements.
$10 monthly fee (waived with $100 minimum daily balance)
Debit card with fraud protection tools
Access to over 37,000 fee-free ATMs via MoneyPass
WaFd Bank offers a Second Chance Checking account for individuals who may not qualify for standard accounts due to previous banking issues.
The account includes full access to online and mobile banking, a debit card, and tools to monitor and manage your spending.
There’s a $10 monthly fee, but it can be waived by maintaining a $100 daily balance. Overdrafts are not permitted on this account, making it easier to stay on track and avoid further setbacks.
You’ll also have access to more than 37,000 MoneyPass ATMs nationwide without fees.
WaFd Bank has branch locations across multiple western states including Arizona, Idaho, Nevada, New Mexico, Oregon, Texas, Utah, and Washington.
Local banks and credit unions offering second chance checking accounts can be found in almost every state. However, if you live in a location without nearby second chance account options, don’t worry! You can still sign up for one through numerous nationwide and online banks listed above. Here is a list of second chance bank accounts by state.
Alabama
Alabama Credit Union: On-Track Checking
Avadian Credit Union: e-Checking
Azalea City Credit Union: Opportunity Draft
Family Security Credit Union: Give Me a Break Checking
Guardian Credit Union: Fresh Start Checking
United Bank: Gateway Checking
West Alabama Bank: Fresh Start Checking
Alaska
True North Federal Credit Union: True Options Checking
Arizona
Alhambra Credit Union: Basic Checking
Banner Federal Credit Union: Opportunity Checking
First American Community Credit Union: Second Chance Checking
Pima Federal Credit Union: Fresh Start Checking
Tucson Federal Credit Union: Second Chance Checking
Tucson Old Pueblo Credit Union: Mission Checking
Arkansas
Diamond Bank: Encore Checking
First Community Bank: Fresh Start Checking
Focus Bank: Fresh Start Checking
Red River Credit Union: Fresh Start Checking
River Valley Community Federal Credit Union: Fresh Start Checking
California
Alta Vista Credit Union: Opportunity Checking
Befit Financial Federal Credit Union: Fresh Start Checking
E-Central Credit Union: E-Builder Checking
Excite Credit Union: Fresh Start Checking
Foothill Credit Union: Rebound Checking
Los Angeles Federal Credit Union: Second Chance Checking
North County Credit Union: Fresh Start Checking
Premier America Credit Union: Fresh Start Checking
Priority One Credit Union: New Leaf Checking
Strata Credit Union: Fresh Start Checking
University Credit Union: Fresh Start Checking
UNIFY Financial Credit Union: Right Start Checking
Ventura County Credit Union: Second Chance Checking
Colorado
NuVista Federal Credit Union: The Last Chance Checking
Texas People Federal Credit Union: Opportunity Checking
United Heritage Credit Union: Choice Checking
United Texas Credit Union: Do-Over Checking
Unity One Credit Union: Clean Start Checking
Velocity Credit Union: Access Checking
Utah
American United Federal Credit Union: FreshStart Checking
Cyprus Credit Union: Fresh Start Checking
Members First Credit Union: Fresh Start Checking
Vermont
NorthCountry Federal Credit Union: Pathways Checking+
Opportunities Credit Union: Second Chance Banking
Virginia
Central Virginia Federal Credit Union: Fresh Start Checking
CommonWealth One Federal Credit Union: Second Chance Checking
Healthcare Systems Federal Credit Union: Renew Checking
Member One Federal Credit Union: Smart Choice Checking
Washington
MountainCrest Credit Union: Fresh Start Checking
Salal Credit Union: Pathway Checking
West Virginia
Clear Mountain Bank: StartFresh Checking
West Virginia Federal Credit Union: Fresh Start Checking
Wisconsin
Brewery Credit Union: Fresh Start Checking
Crossbridge Community Bank: Fresh Start Checking
First American Bank: Fresh Start Checking
First National Bank and Trust Company: Renew Checking
Marine Credit Union: Credit Builder Checking
WESTconsin Credit Union: Foundations Checking
Wyoming
WyHy Federal Credit Union: Second Chance Checking
WYO Central Federal Credit Union: 2nd Chance Checking
What are ChexSystems, TeleCheck, and Early Warning Services?
ChexSystems, TeleCheck, and EWS are consumer reporting agencies that monitor and report the banking history of hundreds of millions of consumers. Those who are flagged by these agencies have records in their databases. ChexSystems is the largest of the lot.
Banks run your name through one or more of these databases when you apply for a bank account. If they pull up a record, you probably will not be able to open an account.
A wide range of offenses can get you listed with a consumer reporting agency. Here are some examples:
Unpaid fees (likely the most common reason to be listed)
Excessive overdrafts
Abuse of your debit card
Non-sufficient funds losses
Various forms of check-related fraud
Failure to pay other fees or service charges
Sometimes the offense is simply listed as “Undisclosed”
Thinking back, you may be able to figure out exactly what got you listed. But often, the incident may have been so small that you have forgotten about it—or never even been aware of it in the first place.
What is a second chance checking account?
Second chance checking accounts (sometimes referred to as “fresh start checking” accounts) are offered by financial institutions willing to give customers a second chance to prove that they’re a reliable banking customer.
If you are listed in ChexSystems, you will be hard-pressed to find a bank or credit union willing to consider you. There are options available. However, only a minority of financial institutions are willing to ignore your negative checking history.
Over 9,000 banks and credit unions in the US screen applicants through ChexSystems. In all, that adds up to over 100,000 branches. It also accounts for 80% of banking institutions in the country.
If you pick a financial institution at random and try to open a new bank account there, you only have a 2 in 10 chance of success.
Additionally, being listed in TeleCheck or EWS can further decrease your chances, as some banks may run these checks even if they do not pull your ChexSystems report. To avoid the disappointment and frustration of repeated rejections, it is recommended to open a second chance bank account.
Why get a second chance checking account?
Banks that offer second chance checking accounts do so in full knowledge of your ChexSystems, TeleCheck, or EWS record.
Based on the information they see on your file, there is a possibility that you will still be denied. If, for example, you committed repeated counts of check fraud, most banks will not want to risk dealing with you.
In most cases, however, a second chance checking account offers guaranteed approval. These banks know that sometimes good customers can go through lapses in judgment. They are willing to take a risk on you, despite your past banking issues or bad credit.
Banks and credit unions that use ChexSystems may reject you for an unpaid overdraft fee or non-sufficient funds loss. However, second chance banks are willing to overlook these kinds of offenses and offer you a bank account.
In fact, approval rates for second chance checking accounts are very high, and most banks process customer applications very quickly. Features offered by these banks and credit unions are comparable to those of a regular bank account.
If you apply for a second chance checking account today, you could be banking again in no time. This is the simplest and fastest way you can start improving your banking history.
What should I look for in a second chance bank account?
The best second chance bank accounts come with features such as:
Low or no monthly fees
No minimum balance requirements
No overdraft fees
Free Visa or Mastercard debit card
A large fee-free ATM network
Online banking
Mobile banking
The goal is to find the perfect fit for your needs while paying the minimal amount of fees. If you sign up for an online checking account, you’ll want to find one that offers many locations where you can deposit cash.
Second Chance Checking vs. Non-ChexSystems Checking
Aren’t they basically the same?
Not quite. But, it really depends on how specific you want to get. They serve the same purpose, but technically a “second chance” checking account and a “non-ChexSystems” checking account are two different things.
When you apply for a non-ChexSystems checking account, your ChexSystems report is not screened.
When you apply for a second chance checking account, your report is usually still checked.
The other big difference is that second chance banking may come with some additional limitations or strings attached. The institution may require that you enroll in a course that teaches personal finance to open a checking account.
That being said, a lot of the time, the two terms are used interchangeably.
All in all, both of these types of bank accounts have a lot more in common than otherwise. This is the reason they tend to be grouped together, despite their differences.
Searching for a comprehensive list of the top banks without ChexSystems? Take a look at our in-depth non-ChexSystems banking guide.
Conclusion
When you are declined a standard checking account because of ChexSystems, TeleCheck, or EWS, you may feel like the banking system has abandoned you.
But your situation is far from unique. Most customers with a negative banking history have committed minor infractions, often involving only a few dollars.
While it may not be as convenient, some banks recognize how absurd it is to decline reliable customers simply because of an insignificant incident in their past.
Why go another day without banking when you don’t have to? It’s time to open a second chance checking account and start building your banking history with a financial institution that recognizes your value as a customer!
If you don’t qualify for a second chance checking account or are looking for other options, there are still several alternatives available.
While second chance accounts and non-ChexSystems banks are generally the most accessible and convenient options, here are some other possibilities to consider:
Prepaid debit cards: These work similarly to traditional debit cards, but without the need for a bank account. Many prepaid cards now offer lower fees and a range of useful features.
E-wallets: Services like PayPal, Venmo, and Cash App offer digital wallets, and some even provide physical debit cards that you can use for everyday purchases.
Secured credit cards: These cards require a security deposit, which serves as your credit limit. Secured cards can help you build or rebuild credit while giving you the convenience of a credit card.
Foreign bank accounts: If you live near an international border or travel frequently, opening an account with a foreign bank may be an option.
Brokerage accounts: Some brokerage accounts offer banking features like debit cards and checking services. However, they often require maintaining a high balance to avoid fees.
Out of these options, prepaid debit cards and brokerage accounts tend to be the most practical, offering more flexibility and fewer barriers to entry.
After using your second chance checking account responsibly for 6 to 12 months, there’s a good chance you can upgrade to a regular account at the same bank. To ensure you maintain a positive banking history and avoid issues with ChexSystems, Early Warning Services, or TeleCheck again, follow these tips:
Monitor your account regularly: Make it a habit to check your balance frequently to avoid overdrafts or insufficient funds.
Set up overdraft protection: This feature can prevent small errors from leading to larger financial problems by automatically covering overdrafts.
Enable account alerts: Get notifications when your balance falls below a set amount or when large transactions occur to help you stay in control of your finances.
Review your budget monthly: Take the time to assess your expenses and make sure you’re not overspending. Reducing unnecessary costs and consolidating debts can keep you on track.
Know your account terms: Be familiar with fees, balance requirements, and account terms to avoid any surprises.
Maintain the required balance: Ensure your account doesn’t dip below the minimum balance to avoid fees.
Handle fees promptly: If you incur a fee, address it immediately by paying it or contacting customer service to discuss potential removal.
Set up direct deposit: Direct deposit can help you avoid fees and ensure your account remains in good standing.
By following these smart banking practices, you can maintain a clean banking record, avoid unnecessary fees, and enjoy greater access to banking services in the future.
Can I open a second chance checking account if I’ve been declined for a regular account?
Yes, second chance checking accounts are designed for people who have been declined for regular accounts due to a poor banking history. These accounts typically have more lenient requirements, making it easier for you to open one even with negative marks on your ChexSystems, TeleCheck, or Early Warning Services reports.
Is a second chance checking account as good as a traditional checking account?
Second chance checking accounts can offer many of the same features as traditional accounts, such as debit cards, online banking, and access to ATMs. However, they may have slightly higher fees or fewer features. In many cases, though, they are a great option for rebuilding your banking history.
Which is better, a second chance checking account or non-ChexSystems checking account?
Both accounts offer similar features, but non-ChexSystems accounts are often considered regular checking accounts and may offer more robust features, like lower fees or higher interest rates.
Second chance accounts, on the other hand, are designed for those with past banking issues. While some second chance banks may require you to complete a financial education course, this can be beneficial in improving financial habits.
Will a second chance checking account help me rebuild my banking history?
Yes, maintaining a second chance checking account responsibly can help you rebuild your banking history. Over time, consistent positive behavior, such as avoiding overdrafts and maintaining a positive balance, may improve your standing with financial institutions, potentially allowing you to qualify for a standard account in the future.
Are there fees associated with second chance checking accounts?
Most second chance checking accounts come with monthly fees, but some offer ways to waive these fees, such as setting up direct deposit or maintaining a minimum balance. It’s important to review the specific terms of each account to understand any potential fees.
How long do I need to keep a second chance checking account before upgrading to a regular account?
The time frame can vary depending on the financial institution. In many cases, if you demonstrate responsible account management for six months to a year, you may be eligible to upgrade to a traditional checking account. Some banks may offer automatic upgrades, while others may require you to apply.
Can I get overdraft protection with a second chance checking account?
Some second chance checking accounts offer overdraft protection, but it may come with limitations. For example, you might need to opt in for the service, or there may be caps on the amount of overdraft protection provided. Always review the terms carefully to understand how overdraft protection works with your account.
Non-ChexSystems Banks by State
Looking for more information and additional options available in your area? Select your state from the list below to explore your options.