Denied a bank account over a ChexSystems report?

Who ChexSystems is and who relies on its reports

Chex Systems, Inc. provides account verification services, mainly to banks and credit unions. According to the CFPB’s list of consumer reporting companies, it collects and reports data on checking account applications, openings and closures, including the reasons accounts were closed, along with check-writing history. The CFPB says ChexSystems is owned by the eFunds subsidiary of Fidelity National Information Services (FIS).

When you apply to open a checking or savings account, the bank may pull your ChexSystems report to decide whether to accept you. The CFPB notes that lenders can also use this deposit account information when deciding whether to offer credit to people with damaged, limited or no credit history. A single wrong entry can mean being turned away from bank after bank, which pushes people toward check cashers and prepaid cards.

ChexSystems is one of two major checking account reporting companies the CFPB names. The other is Early Warning Services. See our Early Warning Services page if a bank cited that company instead.

Errors that show up on ChexSystems reports

According to the CFPB, checking account reporting companies record things like unpaid negative balances on accounts a bank closed, suspected fraud, a history of bad checks, and problems with a joint account. Each of those categories can go wrong:

• Wrong-person entries. A closure or negative balance belonging to someone with a similar name or Social Security number.
• Paid balances shown as unpaid. You settled the debt with the bank, but the report still shows money owed.
• Identity theft. An account opened and abused by someone else, reported as your own mishandling.
• Joint account problems. A co-owner’s overdrafts attributed to you.
• Duplicates and stale data. One closure listed twice, or history old enough that it should no longer appear. The CFPB says the FCRA bars most negative information older than seven years and that some checking account reporting companies disregard information older than five.

How to get your ChexSystems file and dispute it

1. Read the denial notice. A bank that denies you an account based on a report must send an adverse action notice that names the reporting company.
2. Request your report. The CFPB says ChexSystems provides one free report every 12 months on request, plus a free score on request, and will place a security freeze if you ask. Requests start at the official ChexSystems website. Requesting your own report does not hurt your credit scores.
3. Dispute in writing. The CFPB advises disputing errors with both ChexSystems and the bank that supplied the information. Identify each wrong entry and explain why it is wrong.
4. Attach proof. Payoff letters, settlement agreements, bank statements, an identity theft report, or anything showing the account was not yours.
5. Keep copies. Save the denial, your report, your dispute letter, proof of mailing, and every response.

Your rights under the FCRA

ChexSystems is a consumer reporting agency, and the FCRA applies to it in full:

• Accuracy (15 U.S.C. § 1681e(b)). ChexSystems must follow reasonable procedures to assure maximum possible accuracy of the information it reports about you.
• Reinvestigation (§ 1681i). When you dispute, ChexSystems must conduct a reasonable reinvestigation, free of charge, generally within 30 days, notify the bank that supplied the data, and correct or delete information that is inaccurate, incomplete or cannot be verified.
• File disclosure (§ 1681g). You have the right to see all the information in your file and the sources of that information.
• Free annual disclosure (§ 1681j). Nationwide specialty consumer reporting agencies, including those that report check-writing history, must provide a free disclosure once every 12 months on request. You are also entitled to a free copy within 60 days after an adverse action notice.
• Reporting time limits (§ 1681c). Most adverse information older than seven years may not be reported.
• Adverse action notice (§ 1681m). A bank that denies you based on a ChexSystems report must tell you so, name ChexSystems, and explain your right to a free copy and to dispute.

The bank that reported the information has its own duty to investigate when ChexSystems forwards your dispute (§ 1681s-2(b)).

What you may recover

For a negligent FCRA violation, you may recover your actual damages, such as fees paid to check cashers or for prepaid cards, lost opportunities, and emotional distress, plus attorney’s fees and costs (15 U.S.C. § 1681o). For a willful violation, you may recover actual damages or statutory damages of $100 to $1,000, punitive damages, and fees and costs (§ 1681n).

Get a free case review

If ChexSystems reported something that is not true, or kept reporting it after you disputed, do not wait. An FCRA lawsuit generally must be filed within two years after you discover the violation and no later than five years after the violation occurred (15 U.S.C. § 1681p). FCRA Attorneys represents consumers in federal court on contingency, so there is no fee unless we win. Contact us for a free case review, or learn more about our FCRA practice and the other companies we cover.

Questions about suing ChexSystems

Can I sue ChexSystems?

Yes, if the facts support a claim. ChexSystems is a consumer reporting agency, so it must use reasonable procedures to keep its reports accurate and must reasonably reinvestigate your disputes. If it reports inaccurate information or fails to fix an error after you dispute, you may have a claim under the FCRA.

Who owns ChexSystems?

According to the CFPB's list of consumer reporting companies, Chex Systems, Inc. is owned by the eFunds subsidiary of Fidelity National Information Services (FIS).

How do I get my ChexSystems report?

The CFPB says ChexSystems provides one free report every 12 months on request, and a free score on request. You can request it through chexsystems.com. If a bank denied you an account because of a ChexSystems report, you are also entitled to a free copy after the denial.

What does it cost to bring a case?

There is no fee unless we win. FCRA Attorneys handles these cases on contingency, and the FCRA lets a successful consumer recover reasonable attorney's fees and costs from the company.

Sources

• CFPB consumer reporting companies list: Chex Systems, Inc. (owned by the eFunds subsidiary of FIS; free annual report; dispute rights)
• CFPB: Why was I denied a checking account? (checking account reporting companies, what they report, five- and seven-year periods)
• ChexSystems official website (consumer reports, disputes and security freezes)

Updated November 2026. This page is general information, not legal advice.