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15 Credit Unions That Don’t Use ChexSystems for 2023
If you have been denied a checking or savings account, ChexSystems is likely a familiar name to you. Unfortunately, being in ChexSystems likely means you have a tarnished banking history.
However, there are still options available through credit unions that do not use ChexSystems. These bank accounts typically offer the same features that you would get with any other bank account. Among these features are no overdraft fees, a debit card, and a mobile app with mobile check deposit capabilities.
15 Credit Unions That Don’t Use ChexSystems
Despite a negative banking record, you can still secure a bank account through a credit union. Here are 15 credit unions that don’t use ChexSystems.
American Airlines Credit Union (AACU) was founded in 1936 by American Airlines employees. It has since grown to manage $8.5 billion in assets.
The credit union has branch locations in the following states:
Arizona
California
District of Columbia
Florida
Illinois
Massachusetts
Missouri
North Carolina
New Jersey
New York
Oklahoma
Pennsylvania
Tennessee
Texas
AACU offers a variety of checking account options that come with a range of features and benefits. All of their checking accounts offer no monthly service fee or they provide an easy way to avoid the fee.
Furthermore, all bank accounts offer additional benefits such as direct deposit and online statements. They also utilize the CO-OP Shared Branch Network for added locations and convenience.
Navy Federal Credit Union (NFCU), established in 1933, is a credit union dedicated to serving active-duty military personnel, veterans, and their families.
With a membership base of over 10 million, NFCU provides an array of financial products and services tailored to the unique needs of its members.
Among these offerings is the Free EveryDay Checking account, which is accessible to all members. This account stands out due to its absence of monthly fees, minimum balance requirements, and initial deposit obligations.
Such features make it an attractive choice for individuals seeking to rebuild their credit and improve their financial standing.
Navy Federal Credit Union also offers a variety of other financial services, such as savings accounts, loans, credit cards, and investment options.
UNIFY Financial Credit Union offers a Right Start Checking account for those new to banking or looking to improve their checking account history.
This simple account has no minimum balance and no monthly fees. Additionally, members have access to over 100,000 surcharge-free ATMs and more than 5,000 full-service CO-OP Shared Branches nationwide.
The credit union also provides online and mobile banking and overdraft protection. They have locations in the following states:
As a member of America First Credit Union, get have access to no-cost checking and savings accounts. Headquartered in Utah, the credit union primarily serves members who live in western states such as Utah, Arizona, Nevada, and Idaho.
Although branch locations may be limited, America First has a large ATM network that covers the entire country. Additionally, the credit union provides various savings products, with interest rates that are comparable to those offered by many banks.
Hope Credit Union is a credit union with branches in five states, including Tennessee, Mississippi, Louisiana, Arkansas, and Alabama.
With 28 locations and access to the Shared Branching Network, members have access to over 5,000 additional branches nationwide.
The Easy Checking account is one of the financial products offered by Hope Credit Union. This account features a monthly fee of $9.95, but members can have this fee waived by maintaining a minimum balance of $200 or more.
Credit Union One is a Michigan-based credit union with 19 branches and access to the CO-OP branch network.
Eligibility for membership includes residents of Michigan, as well as those who work, pray, or attend school in the state.
The credit union’s Basic Checking Account requires an initial deposit of $25 and has a monthly fee of $15. However, this can be reduced to $10 with a direct deposit.
Additionally, the account offers free online and mobile banking, as well as a platinum Visa card with unlimited fee-free ATM withdrawals from a network of over 30,000 ATMs.
Staley Credit Union is a not-for-profit financial cooperative founded in 1930. They serve members in several counties in Illinois, Indiana, and Tennessee,
SCU offers a second chance checking account, known as the Staley Renew Checking account. It’s designed for individuals who have had difficulty opening a traditional checking account in the past.
This account requires a minimum opening deposit of $50. It also comes with a monthly fee of $7.00.
Southwest Financial Federal Credit Union is a credit union based in Dallas that offers 100% virtual services, which means that members can join from anywhere.
With the eBrand account, members can access their accounts, transfer money, and pay bills remotely. The credit union also provides a mobile app, which allows members to deposit checks, receive account alerts, and view bank statements from the convenience of their own home.
Southwest Financial also offers a variety of financial products and services, including checking, savings, retirement accounts, and lending products.
Furthermore, for members who need to access an ATM, Southwest Financial has partnered with Allpoint, which provides access to 55,000 ATMs worldwide.
Premier America Credit Union has branches in California and Texas, and over 5,000 shared branch locations.
They serve those who live, work, or go to school in Los Angeles, Ventura, or Harris counties, or by joining the Thousand Oaks Alliance for the Arts.
PACU offers a Fresh Start Checking account, which is ideal for those who have ChexSystems records and are looking to start again.
The account requires a $25 minimum opening deposit and has a $13 monthly maintenance fee, which can be reduced to $10 per month by making at least $200 worth of direct deposits each month.
Ashland Credit Union operates four branches in Kentucky, Ohio, and Minnesota, providing a range of financial solutions designed to meet the diverse requirements of their members.
One of their key offerings is the share draft checking account, which comes with no minimum deposit requirement, making it easily accessible to a wide range of members.
For accounts with balances exceeding $500, monthly dividends are paid, rewarding members for maintaining a higher balance.
Ashland Credit Union members also enjoy access to a vast network of 30,000 ATMs nationwide and overdraft protection services as an added safety net.
Furthermore, custom debit cards are available for a $20 fee, allowing members to personalize their banking experience.
American United Federal Credit Union is a Utah-based credit union with 10 branches across Utah and California, dedicated to serving the financial needs of its members.
Among its range of banking products is the Fresh Start Checking account, designed to help individuals improve their financial standing and manage their money effectively.
The Fresh Start Checking account comes with several attractive features, such as end-of-year reward dividends and overdraft protection, offering both incentives and safeguards for members.
While there is an initial fee to open the account and ongoing monthly fees, the benefits of this account may outweigh these costs for many users.
Account holders gain access to a vast network of over 30,000 fee-free ATMs and a Visa debit card.
Delta Community Credit Union is a credit union headquartered in Georgia, with branch locations in Georgia, Kentucky, Texas, and Utah.
Delta Community’s Personal Checking Account comes with no monthly service or per-check fees. You also get 24-hour access to your funds with a Delta Community Visa Debit Card (with some restrictions) and overdraft protection.
Members have access to many ATMs and merchant locations that can be used for free. The account also offers Direct Deposit and Payroll Deduction options, and reward points earned every time you sign for a purchase when using the Visa Debit Card.
Tower Federal Credit Union offers a range of banking options through its 17 branches located throughout Maryland. One of their popular products is a free checking account with no monthly fee or minimum balance requirement.
Additionally, members have access to over 30,000 unlimited fee-free ATMs, making it easy for them to access their money at familiar places.
They also offer 24/7 online banking through their top-rated mobile app, allowing members to manage their accounts on the go. Another benefit is that members can get paid up to a day early with direct deposit.
Texas Trust Credit Union is a prominent financial institution in Texas, with 22 branches spread across the state.
They offer a range of banking products, including the Easy Checking account, designed to cater to the diverse financial needs of their members.
The Easy Checking account has no minimum balance requirement, making it an accessible option for many individuals. However, a $25 minimum deposit is necessary to open the account.
This checking account provides members with a Mastercard debit card and overdraft protection.
Additionally, account holders have access to an extensive network of over 55,000 fee-free ATMs, enhancing the convenience and cost-effectiveness of their banking experience.
Alternatives to Credit Unions That Don’t Use ChexSystems
There are several alternatives to credit unions that don’t use ChexSystems. These include banks that don’t use ChexSystems, second chance checking accounts, and prepaid debit cards.
Banks That Don’t Use ChexSystems
Just like credit unions, there are several banks that don’t use ChexSystems when evaluating potential customers for checking accounts. These banks may have their own set of qualifications for opening an account, but they do not rely on ChexSystems reports.
Here are some of the top banks that don’t use ChexSystems:
With Chime, a negative banking history is not an issue. They offer an award-winning financial app, a checking account with a debit card, and a savings account, all with no credit check.
When you open a Chime Checking Account, you won’t have to worry about monthly maintenance fees, foreign transaction fees, or minimum balance fees.
You can also start building your credit with the Chime Credit Builder Visa® Credit Card7. It’s a secured credit card with no annual fees, no credit checks, and no interest charges1.
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.
U.S. Bank is currently welcoming new customers in 26 U.S. states with a special online bonus offer:
Earn up to $1,000 when you open a new U.S. Bank Smartly® Checking account and a Standard Savings account and complete qualifying activities. Subject to certain terms and limitations. Offer valid through October 31, 2023. Member FDIC.
Applicant must reside in AZ, AR, CA, CO, ID, IL, IN, IA, KS, KY, MN, MO, MT, NE, NV, NM, NC, ND, OH, OR, SD, TN, UT, WA, WI, WY to be eligible for Checking account.
The Bank Smartly® 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.
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.
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 is no minimum balance or 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.
Chase offers a checking account called Chase Secure Banking. The 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.
These accounts often come with monthly service fees and may have limitations, such as not allowing customers to write checks or use overdraft protection. However, they can be a suitable option for people who need a second chance.
Prepaid Debit Cards
Prepaid debit cards are not linked to traditional checking accounts, so they are not subject to ChexSystems reports. A prepaid debit card can be used to make purchases, withdraw cash from ATMs, and pay bills online. However, they may have fees associated with activating, reloading, or using the card.
Frequently Asked Questions
What is ChexSystems?
ChexSystems is a consumer reporting agency that collects data on bank and credit union customers’ checking and savings account usage. This includes unpaid overdrafts, negative account balances, fraud, and suspicious activity, supplied by the credit unions and banks.
Banks and credit unions use the service to access the information. It is separate from credit reports and Telecheck, which mainly focuses on check cashing.
Why do banks and credit unions use ChexSystems?
Banks and credit unions use ChexSystems to check an individual’s banking history and identify potential risks when they apply for a new account. ChexSystems maintains records of account openings and closures, as well as any instances of bounced checks, fraud, or other negative banking activity.
This information helps financial institutions to identify customers who may be more likely to cause financial losses, such as by writing bad checks. This can help the financial institution make a decision on whether to approve an account application.
What are credit unions that don’t use ChexSystems?
Credit unions are non-profit organizations that are owned and controlled by their members.
Credit unions that don’t use ChexSystems are financial institutions providing banking services without depending on ChexSystems to screen applicants’ banking history.
Some of these credit unions may use alternative methods like Telecheck or EWS to assess potential members’ financial backgrounds, while others may not perform financial background checks at all. This allows individuals with a negative ChexSystems record or no financial history to access banking services.
How can I be removed from ChexSystems?
To be removed from ChexSystems, you can dispute any errors on your ChexSystems report. To achieve this, you will need to contact ChexSystems directly and provide documentation supporting your dispute. If the dispute is found in your favor, the errors will be corrected on your report.
You can also work on improving your banking history, pay off any outstanding debts, and avoid future negative incidents. Once you have resolved any outstanding issues and have a positive history, you can request that the financial institution that reported the information to ChexSystems to remove it from the report.
Which credit unions do not use ChexSystems?
While most credit unions do use ChexSystems when making decisions about opening new accounts, there are plenty that do not.
With over 4,900 credit unions in the United States, it’s important to check with the specific credit union you’re interested in to confirm their policies and procedures regarding ChexSystems. The list provided above is only a partial list and should be taken as a reference.
Chime is a financial technology company, not a bank. Banking services and debit card provided by The Bancorp Bank N.A. or Stride Bank, N.A.; Members FDIC. Credit Builder card issued by Stride Bank, N.A.
1. Out-of-network ATM withdrawal fees may apply with Chime except at MoneyPass ATMs in a 7-Eleven, or any Allpoint or Visa Plus Alliance ATM.
2. Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. Chime generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.
7. To apply for Credit Builder, you must have received a single qualifying direct deposit of $200 or more to your Checking Account. The qualifying direct deposit must be from your employer, payroll provider, gig economy payer, or benefits payer by Automated Clearing House (ACH) deposit OR Original Credit Transaction (OCT). Bank ACH transfers, Pay Anyone transfers, verification or trial deposits from financial institutions, peer to peer transfers from services such as PayPal, Cash App, or Venmo, mobile check deposits, cash loads or deposits, one-time direct deposits, such as tax refunds and other similar transactions, and any deposit to which Chime deems to not be a qualifying direct deposit are not qualifying direct deposits.
