Yes. Banks generally have discretion to determine to which parties and under what conditions they provide their products and services.
Last Reviewed:April 2021
Please note: The terms "bank" and "banks" used in these answers generally refer to national banks, federal savings associations, and federal branches or agencies of foreign banking organizations that are regulated by the Office of the Comptroller of the Currency (OCC). Find out if the OCC regulates your bank. Information provided on HelpWithMyBank.gov should not be construed as legal advice or a legal opinion of the OCC.
FAQs
Yes. Banks generally have discretion to determine to which parties and under what conditions they provide their products and services.
Why are banks not letting me open a checking account? ›
Common reasons consumers are turned down for a bank account include a history of overdrafts, unpaid bank fees or suspected fraud. Applications can also be denied due to mistakes on one's checking account report. If you've been denied a bank account, ask the bank why this happened.
Can a bank refuse to let you open an account? ›
Yes. There are a number of reasons why a bank or credit union may refuse to open a checking account. For example: A history of writing bad checks.
Why would a bank deny you from opening an account? ›
Why can't I open a bank account? A bank can deny your request to open an account because of past accounts that were closed due to negative balances, a history of overdrafts or problems verifying your identity. If you're unable to open a bank account, here are some tips on what to do next.
Can a bank refuse to open an account for any reason? ›
If you're bankrupt or have a record of fraud, you will not usually be allowed to open a bank account. Also, you may be refused permission to open a current account if you have a poor credit rating.
What to do if I Cannot open a bank account? ›
What can you do if your application for a bank account is rejected?
- Applying for a different current account. Each bank has different eligibility rules, meaning you may be able to get an account elsewhere. ...
- Getting a basic bank account. ...
- Considering a prepaid card. ...
- Talking to a credit union.
How do I get off the bank blacklist? ›
Pay Off All Outstanding Debts – If the blacklisting results from unpaid debts or fees, resolve them immediately. This can be an important step in repairing your financial reputation. Consider Alternative Banking – Numerous institutions acknowledge that everyone deserves a second chance.
What bank gives you a second chance? ›
Chime is an online-only fintech company that offers banking services through The Bancorp Bank, N.A. or Stride Bank, N.A. Its Second Chance Banking option boasts no monthly fees and no credit or ChexSystems check.
Do banks run a credit check to open a checking account? ›
Banks don't look at your credit score when you open a checking and/or savings account, but they may screen your banking history.
Can I open a bank account if I owe another bank? ›
You can be denied an account if you're in debt to another bank because of an overdrawn account or overdraw your account too often.
If you are unable to open a new bank account, here is what you should do.
- Ask the bank to reconsider. ...
- Get a copy of your report. ...
- Check your report for errors. ...
- Clean up your report. ...
- Look into getting a 'second-chance account' ...
- When you're ready to apply for a traditional checking or savings account.
Can you be blacklisted from opening a bank account? ›
To be “blacklisted” by ChexSystems effectively means that you have a very poor ChexSystems score. Due to a history of overdrafts, bounced checks, etc., your score is low enough that banks considering you for a standard checking account will likely deny you based on your risk profile.
What are the red flags for opening a bank account? ›
For example, several accounts popping up from the same place or using almost the same phone numbers, devices, or IP address is a significant red flag. When the data provided in an application doesn't match other available details, that's a red flag.
Can a bank refuse to open a checking account? ›
Yes. Banks generally have discretion to determine to which parties and under what conditions they provide their products and services.
Why are banks not letting me open an account? ›
You can be denied a checking account for a number of reasons, such as negative marks in your banking history, suspicions of fraud or an inability to verify your identity. Read on to find out why banks may turn down your checking account application and what your options are.
What is the best bank for low income people? ›
Both Wells Fargo and Bank of America can be good choices for low-income earners since the direct deposit minimums are not overly burdensome.
Why can't some people open a bank account? ›
Banks use your credit report to assess your financial reliability. One of the most common reasons for being denied a bank account is having a poor credit history.
How do I get off ChexSystems? ›
- Request your report.
- Dispute errors.
- Pay off debts.
- Ask creditors to update information.
- Wait until the record drops out of the database.
Why is my checking account unavailable? ›
The error message “Account Temporarily Unavailable” could mean there is a connection issue or the site has been taken down for maintenance. If you close the site and reopen it the message will usually go away, and you can continue with your transaction.