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srbrooks

Chex clear still denied

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Got my Chex report last week and it is clear but applied a t local CU and denied due to information in my Chex report. I'm so confused. Do they get a different report than the one mailed to me

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They may use Early Warning Services (EWS), but their standard form letter just lists Chexsystems.

 

Some financial institutions use your FICO score, Chexsystems Qualifile scoring, the number of recent inquiries - or they may have other issues confirming your identity. I would contact the CU and get them to give a specific reason for the decline.

Edited by tmcgill

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Lately, banks and CUs are increasingly relying on double pull.

 

Word of caution: always keep your reports frozen and know who pulls what for what. It helps to navigate the uncharted ocean of credit as well as channel traffic to your targeted CRA.

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Post an update once you get a specific reason for the decline from the credit union.

 

You can call EWS and they will tell you if they have anything negative in their files for you.
(Unfortunately, phone and snail mail only)

(800) 325-7775

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I should have checked EWS but did not. Since they have 5 yr reporting as well as Chex and Chex was clear... I assumed EWS was also. And we know how that goes. I will call them .

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Be aware that just because ChexSystems doesn't have 'reported information' showing that they will still deny you if you have too many successive inquiries lately. It creates a red flag and they will not approve you because it looks like you are applying for multiple accounts. Inquiries how for two years on the Chex reports and can only be removed if they were due to fraud. It is my experience their computer systems deny automatically and some banks, even with no reported information do not override that decision.

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Got my Chex report last week and it is clear but applied a t local CU and denied due to information in my Chex report. I'm so confused. Do they get a different report than the one mailed to me

 

Well, it's illegal for Chex to supply different information to the bank that is not disclosed to you - send a request to Chexs asking for a free report, attach a copy of the denial letter.

 

If there's nothing there, then walk into the CU main office and ask what's up with the letter. - Did they attach a FCRA Adverse action notice ?

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I literally just got my Chex report on 12/3 and it had no history . I know an old Chase account was on there and recently fell off. I have zero inquiries as well . Does Chex tell the bank to deny or grant an account ? If so, maybe they think I'm too risky since my report just became clear.

And no, they just sent me an email that said unable to open based on information obtained in my Chex report

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Which local credit union denied the account?

 

Many banks use customized software that runs a combo report. When you apply, they use internal scoring that assesses Chexsystems and your FICO, Chexsystems and EWS - or whatever multiple CRAs they subscribe to. I know a particular large credit union that runs Chexsystems for a Qualifile score, EWS and FICO scoring for approvals.

 

Many banks and CUs have been known to send that standard form letter listing Chexsystems - when the decision was based on internal scoring or factors. Contact them with the Chexsystems report, and get a specific reason for the denial.

 

Why You Should Find Out The Specific Reason:

1. Ensure there is no identity mix-up.

2. Determine if there is obsolete or inaccurate information associated with your identity.

Edited by tmcgill

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I literally just got my Chex report on 12/3 and it had no history . I know an old Chase account was on there and recently fell off. I have zero inquiries as well . Does Chex tell the bank to deny or grant an account ? If so, maybe they think I'm too risky since my report just became clear.

And no, they just sent me an email that said unable to open based on information obtained in my Chex report

you should get a written Adverse notification within a few days, wait for it before taking any further action

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It was bossier federal . I feel so embarrassed!! Have to get a new account to be able to wire transfer if I am approved for mortgage . Going to Community Bank of Louisiana tomorrow

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Note: They have 30 days to send the adverse action letter, but personally I would contact them with the Chex report and get to the bottom of it.

Let us know if you need other banking suggestions for your location. (Don't forget to contact EWS just to confirm).

Edited by tmcgill

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You shouldn't be. (If possible, go in. Show them the Chex report) Always ask for the branch manager. Sometimes there is a disconnect between the branch and the back office. Often, the applicant is unable to talk directly with the Security/Loss Prevention section or back office. The Mgr. can contact them and find out what occurred.

Edited by tmcgill

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I agree with tmcgill!

 

If you are not blocked by the Risk Dept, some Branch Managers even go further enough to ignore Chex and open an account regardless of Chex entry as long as it is past 24 months. I have personally tested this approach few times (BOA)

 

If you cannot open an account elsewhere, HSBC is currently opening accounts with a soft on EXP. Give them a try if you need to.

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I just don't understand because Chex is clear!

Banks rely on other sources as well such as EWS, Telecheck etc. You need to examine your EWS as well.

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I just don't understand because Chex is clear!

Banks rely on other sources as well such as EWS, Telecheck etc. You need to examine your EWS as well.

 

regardless, the CU stated it was Chex. so the CU has to go back to that statement and explain.

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I should have checked EWS but did not. Since they have 5 yr reporting as well as Chex and Chex was clear... I assumed EWS was also. And we know how that goes. I will call them .

Isn't EWS 7 years reporting, not 5? And since this was Chase, don't they use EWS also since they are one of the owning banks?

Edited by bpcnabe

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EWS responded to us they now report for 5 years. Yes, Chase runs and reports to EWS.

Edited by tmcgill

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