Credit Scores and Reports: Reports Financial Institutions Pull for New Accounts
Some banks and credit unions utilize reports when opening a new account. Sometimes these are used to qualify for a checking account or to verify no monies are owed to other financial institutions.
Tucson Federal Credit Union pulls a ChexSystems report for new accounts. Other reports include Early Warning System, Telecheck and Certegy.
You may be denied an account if a reporting company has negative information in its files about your checking or account history such as:
- An unpaid negative balance and the bank or credit union closed the account and reported the unpaid balance
- Suspected fraud related to an account
- A previous account with someone else who had these types of problems reported
Retailers may use similar reports to decide if they will accept your check.
Reporting companies must comply with the federal Fair Credit Reporting Act (FCRA) and can’t include most negative information that’s more than seven years old.
As a consumer, we have the right to obtain a free annual report, upon request. We are also entitled to request a free report if an account was denied based on information from a report.
To learn more about the report we pull, visit ChexSystems website HERE.
When you click to request your free annual report, it will take you to the Consumer Discloser page. You till then be instructed to click the Login or Register button located at the top of the page. If you find inaccurate information on your report, you are able to dispute those items with ChexSystems, or directly with the source of the information.
As with the three primary credit report agencies, you are also able to place a Security Freeze with ChexSystems that would prevent financial institutions from pulling your report should an account request be made. You may find out more about this option HERE.
To get more details on bank reporting companies and how to get a free report, click the Consumer Financial Protection Bureau link HERE.
With so much of our personal information available, it’s important to protect ourselves from fraud and reporting errors. Handling our finances with planning and intentionality can help prevent situations from occurring that may get us into a money jam.
If you don’t have a money plan, I can help you create a strategy that will reduce financial worries and help you be prepared for the future. CLICK HERE to schedule your Personal Financial Coaching session.
Lisa Atkinson
TFCU | Personal Financial Coach
latkinson@dbctl.com
As a Personal Financial Coach, I do not provide legal or tax advice. Tucson Federal Credit Union does not guarantee that this service will achieve any particular objective or outcome. For any legal advice, please seek the advice of an attorney or tax professional.
