Whenever you apply for a bank account or write a check, most merchants will verify the transaction through ChexSystems. Who is ChexSystems? Well, they are a check verification service and consumer credit reporting agency. They provide the merchant with some assurance that doing business with you is safe. They hold information on more than 300 million consumers in this country. If you have anything derogatory on your report, you will be unable to open a bank account or pass checks. Thankfully, you can dispute anything on incorrect on your record, and you can ask for a ChexSystems removal, if you feel that information on you is erroneous. Here’s how:
Obtaining a ChexSystems report is very easy, and it doesn’t cost anything. There are four ways that you can request this information. The easiest method is to go to their website. By clicking here, you can fill out this form and they will send you a report within five business days. The online form will ask for information such as your full name, address, and social security number. You may call the company directly at 1-800-428-9623. The voice messaging system will ask you for the information necessary to process the request. If you prefer to do things by mail, you can fill out this form here, and send it to them at:ChexSystems, Inc.Attn: Consumer Relations805 Hudson RoadSuite 100Woodbury, MN 55125
Lastly, you can fax a request to them rather than using the mailing service. Their fax number is 1-602-659-2197. If you get back a blank report, then you don't have a file with ChexSystems. Once you have this report in your hand, go through every detail. If something doesn't look right, then you have a right to dispute it. Keep in mind, if you open an investigation and do owe the money, they have a right to use any information you provide them with to collect the debt.
Writing a dispute letter is the easiest way to challenge the information in your report. In section 6, we have a model of a dispute letter that you can use. You have a right to file a dispute both with the bank who reported the information and ChexSystems. In fact, it may expedite the process to file the dispute with both entities. Attach a photocopy of your report with the erroneous items highlighted or circled. Make sure your letter is clear and to the point. State what the discrepancies are as well as provide any documentation that you may have that this obligations have been paid. The Consumer Request for Reinvestigation form should accompany your copy of the report to get out of ChexSystems.
In case you are wondering how long does it take to get out of ChexSystems, the law mandates that ChexSystems must respond to all dispute requests within 30 days. In the state of Maine, they only have 21 days to reply. If either the bank or ChexSystems fails to respond within the allotted time, then the items under dispute must be removed without further question. After the appropriate time has passed, you may send a Demand for Removal letter, and they must remove these items.
Anything that you send to ChexSystems should always be sent by certified mail. Make sure to get a request for a return receipt too. This gives you the documentation that you need to show that your requests were received by the intended recipient, and it documents the date they received them too. If they should fail to respond in a timely manner, this will serve as the proof that you need, should you obtain a ChexSystems removal attorney to help with your dispute.
To get your record cleared from your ChexSystems report, you must be diligent and follow up with your request. This company receives hundreds of requests every day, so you want to make sure your report doesn't slip through the cracks. If you have wrong information on your consumer file, then you should send a Procedural Request letter or ChexSystems removal letter to the company.
Again, make sure this letter is sent by certified mail with a return receipt. Once they receive your request, they have 15 days to complete the re-investigation. Within this allotted time, they must supply you with the requested information and what they have found from their research. If they fail to meet these timelines, then they can face an investigation by the Federal Trade Commission or other legal issues.
You, also, have a right to file a formal complaint against the banking institution or ChexSystems for failing to respond. The OCC or Office of the Comptroller of Currency, NCUA or National Credit Union Administration, your Attorney General’s Office, or the State Banking Commission can help. If all else fails, then taking them to court in a small claim suit may be the only way to get some action.
If the information on your report is accurate, then you must pay back the funds owed to get the account marked "Paid in full.” Negative information can impact your report for five years, so it is wise to pay off anything that can be damaging when you apply for credit. Since there are very few banks that don´t use Chexsystems, having a good consumer report with them is imperative.
All ChexSystems disputes start with a simple letter. The ChexSystems removal letter should have all the information necessary to investigate your claim. There are many samples on the internet, but here is one of the best ones available:
It shouldn’t be a long and drawn out battle to have erroneous information removed from your file. When considering ChexSystems how to get off is not as hard as you may think. The goal is to make sure that your letter is received and that someone is investigating this matter on your behalf. Remember, you always have the option of escalating the process to ensure that your matter receives the prompt attention that it deserves.
Just out of college and ready to move off-campus, Patrick learned he had been a victim of identity theft when he was rejected by the landlord for having bad credit. After years of having multiple credit applications denied and fed up with having to pay security deposits up front to utility companies, Patrick decided to dispute Chexsystems and recover his credit. He educated himself on personal finance for years and, after successfully building up his credit record to a good score, he was approved for a mortgage and was finally able to buy a house in New York, where he now lives with his girlfriend and their dog, Winston.