Bad Credit & Checking Accounts… What Are My Options?

bank-account-application-tipsHaving bad credit is self-perpetuating: the worse your credit score, the harder it can be to get out of debt, start paying your bills on time and turn your financial life around. Regardless of your credit score, one of the most important building blocks of having a normal, healthy financial life is to have your own checking account. Such people are routinely denied the privilege of opening new banking accounts. Having a checking account is very important to carry out your financial transactions. It is safer and easy to use while giving you convenient features of online banking. However, if you have had credit problems in the past, either by making overdrafts or non-payments, banks today won’t take it easy on you. They will surely report your name to Chex Systems. Once your name is listed on the Chex Systems database, it becomes difficult to open a new account or even get a new credit card.

Advantages of Poor Credit Checking Accounts
For people who are on the bad debt list of Chex Systems, bad credit checking accounts are a convenient way to continue their financial transactions. These accounts have basic features and might be more expensive than normal checking accounts. However, the good thing is that these people are given a second opportunity to manage a bank account instead of being rejected by credit reporting agencies. These accounts can be used as a second chance to display your financial commitment and responsibility towards payments. At times, these accounts can be a gateway to get a normal banking account as most banks prefer to verify your credit worthiness before issuing a regular banking account.

bad-credit-checking-accounts-optionsRecent statistics on US banking sector reveal that almost 35% of banks have financial programs designed for people with bad credit. It is important to identify these banks to take advantage of those benefits. As there is higher risk involved, banks might charge you more when compared to normal banking account. At times, payment processing might also be delayed. Many banks will only allow you to open one second chance checking account to start off your banking relationship with them. In that case, you need to select a bank which has extensive network coverage to avoid multiple transaction charges or other bank surcharges.

Bad credit checking accounts might be expensive when compared to normal bank accounts. However, having a second chance bank account is better than not having one at all. Second chance accounts can be applied for online easily. The process is very simple and you’ll be notified instantly of your approval status. But you must resolve in your mind to handle your account in the responsible manner to repair the damage done to your credit. Get a bad credit checking account now and keep your financial life running on a positive track.