How to Dispute ChexSystems Report

(December 2024)

How to Dispute ChexSystems Report

In This Article

Wondering how to dispute your ChexSystems report and clear your name from ChexSystems records? Disputing your name from the ChexSystems list can be very difficult if you don’t know where to begin from.

But cheer up! This article tells you in detail how to dispute ChexSystems. Read it till the end to know how to successfully dispute your ChexSystems report.

Ready? Let’s get into it!

To know how to challenge your ChexSystems report:

  1. Understand Why ChexSystems Exists
  2. Find Out Why ChexSystems Keeps Your Records
  3. Familiarize Yourself With Your Rights Under the Fair Credit Reporting Act (FCRA)
  4. Request a Copy of Your ChexSystems Report
  5. Highlight the Errors in Your Report
  6. Contact the Bank That Provided Your Information to ChexSystems
  7. File a Direct Dispute With ChexSystems
  8. Support Your Dispute With Necessary Letters as Situations May Demand
  9. File a Legal Dispute if ChexSystems Fails to Honor Your Dispute
  10. Know the Dos and Don’ts That Can Aid Your Dispute

1. Understand Why ChexSystems Exists

To dispute your ChexSystems report, know the meaning of ChexSystems. ChexSystems is a consumer reporting agency (CRA) that operates in compliance with the Fair Credit Reporting Act (FCRA).

ChexSystems tracks consumers’ checking and savings account activity. Before banks approve your bank account application, most banks they look into your ChexSystems’ report to determine if you are going to be a risky customer.

2. Find Out Why ChexSystems Keeps Your Records

To contest your ChexSystems status, investigate why ChexSystems stores your information. Banks and credit unions send your information to ChexSystems when they discover a transaction bridge or suspect identity theft case.

To remove your profile from ChexSystems, avoid overdrafts, unpaid balances, and bounced checks. Keep your banking information safe to avoid identity theft, and don’t engage in fraudulent transactions or any business that can bring your financial information into disrepute.

Stay away from check kiting and check floating. Close old accounts to avoid incurring charges you do not know about. Also, be sure to provide accurate information when opening new accounts with your banks and credit unions.

3. Familiarize Yourself with Your Rights Under the Fair Credit Reporting Act (FCRA)

To properly dispute your ChexSystems report, acquaint yourself with the federal law regarding consumer reporting agencies including ChexSystems. FCRA gives you some rights as a consumer.

You have the right to

  1. Request your ChexSystems report.
  2. Demand for a free credit report every 12 months.
  3. Dispute errors on your consumer reports.
  4. Request the removal of inaccurate reports.
  5. Seek damages in some cases. E.g., if data furnishers or ChexSystems violate any of your rights under FCRA.

4. Request a Copy of Your ChexSystems Report

To oppose your ChexSystems report, request a copy of your report from the reporting agency. Request your report online by visiting the ChexSystems website and completing a request
form.

You may also ask for your ChexSystems report by mail. Download the request form from the ChexSystems website, fill it out, and send it via the ChexSystems email address. In addition, you can also demand for the ChexSystems report by phone or fax.

What can you find in your ChexSystems report? Assess your personal data, security freeze record, reported information, retail information, Social Security Number validation, etc.

5. Highlight the Errors in Your Report

To begin disputing your ChexSystems report, verify the information in your ChexSystems copy. Circle or highlight the unverifiable and inaccurate reports in your profile, such as errors and miscellaneous data stemming from identity theft.

Perform this verification process as ChexSystems receives the information only from data furnishers and most time ChexSystems fails to confirm the authenticity of the information. Verify that your personal information is correct.

And watch out for the events that never happen like unrecognized transactions and accounts record you don’t know about. Follow up ChexSystems to ensure it closes issues that you have already resolved in your report. Print the highlighted copy and keep a copy for yourself.

6. Contact the Bank that Provided Your Information to ChexSystems

To contend with the ChexSystems report, submit a Complaint form to the bank that gave out your information to ChexSystems. Send a copy of the erroneous report to the bank and demand revalidation of your account. The bank in return informs ChexSystems to update your report.

7. File a Direct Dispute with ChexSystems

To file a dispute with ChexSystems, locate the appropriate dispute form. Obtain a dispute form for each item you wish to dispute. You can obtain the form in two ways, online or by email/fax. To complete the form online, agree to ChexSystems’ terms and policies.

Enter your personal information and record the complaint in the Complaint field. Attach your circled/marked report copy and submit the complaint.

If you wish to challenge ChexSystems by mail or fax, complete the Request for Investigation form and mail it to 602-659-2197 or ChexSystems’ address (7805 Hudson Road, Suite 100, Woodbury, MN, 55125).

8. Support Your Dispute With Necessary Letters as Situations May Demand

To discuss your ChexSystems report, support your arguments with necessary letters if the situation requires it. Send a letter with a procedural request if ChexSystems acknowledges the errors in your report but fails to clear them. Ask why the errors persist in your profile.

With a procedure letter, ChexSystems has 15 days to process your request under the FCRA law. If ChexSystems fails to reply you after 45 days, send a letter requesting the deletion of your data even if the information is correct.

The law requires that credit reporting agencies remove derogatory items from consumers’ files unless the agencies have reasonable grounds for keeping such adverse items on consumers’ records.

>>>GET SMARTER: How to Know My Credit Score

9. File a Legal Dispute if ChexSystems Fails to Honor Your Dispute

To protest your ChexSystems status, report ChexSystems to the appropriate regulatory body. Keep all the documents and communications during the dispute as they are part of the important documents you need to make a legal charge.

Contact the following regulatory body(ies):

  • Consumer Financial Protection Bureau (CFPB): contact this organization for any consumer financial institution.
  • National Credit Union Administration (NCUA). If your Furnishers are credit unions this body regulates credit unions with national charters.
  • State Attorney General’s Office. Contact the office of the state attorney general If the bank in question belongs to the government.
  • Federal Trade Commission (FTC): FTC monitors ChexSystems and other consumer reporting agencies.

In addition, file a lawsuit against ChexSystems if you are desperate to argue your status. Note that you cannot take ChexSystems to court unless you first follow all the procedures for the dispute. If you win the case against ChexSystems in court, you get a reward of $1,000 for every FCRA violation.

10. Know the Dos and Don'ts that Can Affect Your Dispute

To fast track your dispute with ChexSystems, know what to do and what to avoid when disputing your report.

DOS

  1. Familiarize yourself with your ChexSystems report.
  2. Be aware that the dispute process may take 30 days to 6 months to complete.
  3. Add a copy of your SSN and date of birth on each letter you write
  4. Attach your driver’s license with each dispute.
  5. Organize your documents such as the highlighted copy of your report, dispute letters, social security card, driver’s license and others.

DON'TS

  1. Don’t file a dispute online if you want a quick response from ChexSystems.
  2. Don’t attach more than 3 disputes with each letter you write.
  3. Don’t dispute directly with banks or credit unions unless you’re certain that the information they give ChexSystems is not accurate.

Conclusion

To effectively dispute ChexSystems report, learn the purpose of ChexSystems and why it keeps your records. Be aware of your rights under the Fair Credit Reporting Act. Find the problems in your ChexSystems report by requesting a copy of it.

After this, submit a direct dispute to ChexSystems and back it up with the appropriate paperwork. Furthermore, take your case to a regulatory agency or court of law if ChexSystems refuses to honor your complaints. Lastly, understand the dos and don’ts that can affect your dispute positively or negatively.

Become a

S'witty Kiwi Credit Insider!

Get the latest credit tips and hacks in your inbox!