Secret Checking Account Reports You Should Be Tracking
Financial times may change, but one thing remains the same: life becomes much easier with a bank account. You may not have written an actual paper check in years, but a bank account is still fundamental to modern life. Only 6% of Americans are unbanked , meaning they don’t have a bank account at all, and while it’s possible to live on cash only , having a bank account has too many benefits to ignore, ranging from FDIC insurance on your deposits. , earning interest and having a relationship with a financial institution, which comes in handy when you want to borrow huge amounts of money to buy a house or need somewhere to put your paycheck.
That’s why it causes panic if your bank suddenly closes your accounts or refuses to let you open them at all. The worst part is the lack of information, but there is actually a way to find out why your bank closed or denied the account in the first place. It turns out that banks use reports similar to the credit reports used by lenders to determine the risk associated with allowing you to open or maintain an account with them. And you should check these reports every year, just like you would your credit report.
Your bank has secret information about you
Surprised? You shouldn’t do this: banks have every right to refuse to open an account for you or close an existing account, and they will do so in a heartbeat if your risk profile is skewed in the wrong direction. The worst time to find out that you are a threat is after your account has been closed or denied. Your best defense is to check your bank reports the same way you check your credit reports ( you check your credit reports every year, right?).
The good news is that these secret bank account reports are subject to the Fair Credit Reporting Act, just like your credit reports, and you can request a free copy once a year to verify their accuracy and dispute any errors. The bad news is that you have six —yes, six — reports to review.
Reports to check
Here are six companies you should contact today (that is, right now) to request a bank statement. The process is similar to requesting a credit report: you’ll need to provide some basic information to verify your identity, then download the report, review it, and contact the company about any problems in that manner.
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Early Warning Services . In a way, it’s fitting that the company sounds like it belongs in one of the Terminator movies, since it could be a harbinger of your own personal financial apocalypse. You may have heard of Early Warning Service in another context, as it owns the banking app Zelle. EWS, in turn, is jointly owned by several banks, including Bank of America, PNC Bank and Wells Fargo, making it the best insider when it comes to your bank statements. You can request an early warning report here .
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Certegy Payment Solutions . Certegy collects consumer check-writing histories and provides verification services to merchants, gambling sites and banks. You can request a copy of the Certegy report here .
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Chex systems . Chex Systems notifies banks of unpaid fees, delinquencies or other problems with previous bank accounts. They provide a risk score ranging from 100 to 899, similar to a credit score. You can request a copy of your Chex report (and results) here .
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Cross-validation . CrossCheck is a little more specialized and provides check checking services to the automotive, construction, retail and healthcare sectors. However, if you ever write a check to a dentist or contractor, you should review this report every year. You can request a copy of the CrossCheck report here .
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Global Payment Verification Services . Global Payments offers a range of due diligence services to both banks and businesses, including debt collection, which means unpaid debts may appear on their records even if they have been settled. You can request a copy of the Global Payments report here .
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TeleChek services . TeleCheck Services is focused on reducing bank account fraud. You can request a copy of the TeleCheck report here .
While it may not be an easy task, reviewing each of these statements once a year (which is your legal right) is the best way to protect yourself from fraud or simple mistakes that could cause problems opening or maintaining a bank account.