Massachusetts Banks & Credit Unions That Don't Use ChexSystems

Banks keep a blacklist of customers that have once made a mistake. People with accounts on such a list are considered to be a risk. Three of the systems used to blacklist clients are EWS, TeleCheck, and ChexSystems. For your account to appear on any of these lists, you must have a low score in the system. The low score comes from false banking operations deemed illegal and unethical.

ChexSystems and How to Repair a Report

These lists and systems accommodate both personal accounts and those of corporate organizations. However, it is possible to repair the report used to blacklist your account. For instance, ChexSystems is a database used to keep a detailed report of account mismanagement for financial institutions like banks and credit unions. But with four simple steps, you can repair your ChexSystems report.

First, you have to send a request for the report. Second, you have to dispute the errors recorded in the report. Then, if there is a balance that needs to be settled, you have to clear it. This means that you must pay off outstanding debts. Lastly, you send a request to the financial institution to remove the report. After these steps have been rightly executed, you can expect your account to be removed from the blacklist.

Alternatives to Financial Institutions Using ChexSystems in Massachusetts

The reports are not removed in many cases and some people insist that the process can be tedious. However, if the report is not repaired, individuals may not be able to open an account with certain banks. You might not even be able to get a new card or loan. This article will show you the ten best banks that do not need your ChexSystems report in Massachusetts.

According to the Division of Banks (DOB), there are about 140 state-chartered banks and credit unions in Massachusetts. However, the states in the New England region of the US have assets of only $28.3 billion to pay bills totaling $126.9 billion. Therefore, not being able to open an account in these states will only put an individual behind in money management and meeting some lender/creditor requirements.

You can open your account with financial institutions that ignore bad credit reports. Banks and credit unions like these give you a second chance to build a new record. However, some checking accounts will require that you pay a fee. Below, you will find financial institutions willing to ignore your bad credit records in Massachusetts and some reasons as to why I recommend them to you.

NB: The arrangement of this list does not represent the editor's preference. They are listed in random order.

Editor's Choice

CIT Bank

The CIT Bank Savings Connect account is the best among banks that don’t use ChexSystems. Unlike many other non-ChexSystems accounts, the CIT Bank Savings Connect is also a high-yield savings account that can help grow your savings much faster than most other banks can.

Features and Benefits:

Interest-bearing
Minimum balance requirement: $0
Monthly maintenance fee: $0
Monthly ATM charge reimbursements of up to $30

Why is it recommended for you?

Although CIT Bank has a relatively high minimum deposit ($100) to get started, it offers one of the best interest rates among online banks, and has no opening, monthly servicing, online transfer or incoming wire fees.

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The Best Alternative

The Complete ChexSystems Removal Kit

Our comprehensive ChexSystems Removal Guide includes the exact documents and instructions guaranteed to help you get off ChexSystems and start banking again.

Learn More

The first financial institution on this list is a credit union. It provides a No Boundaries Checking account. This banking service assists people who need to rebuild their financial lives. Alden will open an account for you even if you have a poor ChexSystems record. However, it may place restrictions on your account based on your ChexSystems report. Aside from the restriction, you will be able to open an account, as well as access 50 personalized checks and an ATM. In addition, you can open your account with only $10 and start using its online services, notary service, and bill pay.

Athol Credit Union

Another credit union that does not use ChexSystems in Massachusetts is Athol. You can open its Fresh Start Checking account with an opening deposit of $25. Athol Credit Union requires that you pay off previous charged-off accounts before processing your new account. Its membership package includes access to online banking, free checks, and a debit card.

Learn more about Athol Credit Union

Current

The second financial technology company on this list is Current. Hence, all its activities are conducted over the official app. This company offers its customers the Current Personal Checking Account. You are not required to pay a minimum fee to open your account. By using Current, you can earn up to 4.0% interest if your balance is up to $6,000. Also, you can get your paycheck two days early if you use its direct deposits. It started operation in 2015 and now has almost 3 million customers.

North Easton Savings Bank

Another bank on this list is the North Easton Savings Bank, founded in 1864. It is a mutual savings bank that offers customers Free Basic Checking and Totally Free Checking. The two accounts require $10 and $50 respectively as minimum deposits. After the first payment, monthly service fees are not required again. Furthermore, you are provided with free eStatements, online bill payment, first 50 checks free, and unlimited check writing.

Learn more about North Easton Savings Bank

Washington Savings Bank

You can open a new account in Massachusetts even if you have a low ChexSystems score. The bank offers an Online Rewards Checking account. This account offers multiple utilities alongside easy accessibility. You can open a new account online, get a free Mastercard EMV debit card, free eStatements, and budgeting tools. However, you need a starting deposit of $10.

Learn more about Washington Savings Bank

Conclusion

ChexSystems works under the federal Fair Credit Reporting Act (FCRA). They are responsible for the law that governs systems like ChexSystems. Therefore, after five years of being in the system, the account will be automatically removed from the bank list. But you do not have to wait for five years if you live in Massachusetts. This article has provided you with the top ten best banks that don't use ChexSystems in Massachusetts.