How to Get Out of ChexSystems Including Sample Letter
Sometimes banks make mistakes. If you believe you have been wrongly reported to the ChexSystems, there are steps to follow to dispute the entry. The bank and the information provider are legally obliged to correct any inaccurate information in your ChexSystems report. The steps to follow are outlined below:
Obtain a copy of your report and review it thoroughly. Look out for any information and detail which may be inaccurate. If you find any details which are not correct you need to take steps to get it corrected by providing some documentation in evidence.
Write to ChexSystems to inform them of the information you have found to be inaccurate. Make sure you provide documents with the letter as proof of your claim. Layout your letter clearly and itemize all the detail you are contesting and explain why you want information corrected or removed entirely. You could include a copy of your report with the areas you are contesting highlighted.
Always make sure you use certified mail to send your letter and request proof of posting. This is to ensure that there is a record of you sending stuff to ChexSystems and that they received everything. Keep copies of everything you send to them as part of your records.
You could also contact the bank or credit unions involved directly and make requests they amend the information provided to ChexSystems. You can also handle disputes by telephone and you should be prepared to explain why and provide documentation.
What will ChexSystems do?
When you send your documentation for a dispute to ChexSystems they are required by law to carry out an investigation within 30-45 days. If they deem a dispute to be frivolous ChexSystems may decline to carry out an investigation. ChexSystems will pass all the information and documentation you provided to the reporting institution. The reporting institution will launch an investigation on its own. They will then report their findings back to ChexSystems and if the disputed information is indeed inaccurate, they will notify ChexSystems so they can remove the contested information.
If the information you are disputing is verified to be accurate then it is added back into your report. However if ChexSystems report that the information was verified as inaccurate but no deletions have been made, you will need to send a Procedural Request letter. After each investigation ChexSystems must provide you with a free copy of your current report if there has been a change.
Failure to respond within the 30-45 day window after receiving your dispute the next step is to send a Demand for Removal letter to them. If they do not respond it means the information they hold about you is not verified so they must remove it from your record.
Even when a dispute does not provide any results they may place a few notes in your report to detail the objections you have.
Sample Dispute Letter
Your Address, City, State, Zip Code
Name of Company
City, State, Zip Code
Dear Sir or Madam:
I am writing to dispute the following information in my file. I have highlighted the items I dispute on the attached copy of the report I received. This item ( identify item(s) disputed by name of source, such as creditors or tax court, and identify type of item, such as credit account, judgment, etc.) is (inaccurate or incomplete) because (describe what is inaccurate or incomplete and why). I am requesting that the item be removed (or request another specific change) to correct the information.
Enclosed are copies of ( use this sentence if applicable and describe any enclosed documentation, such as payment records, court documents) supporting my position. Please reinvestigate this (these) matter(s) and (delete or correct) the disputed item(s) as soon as possible.
Enclosures: ( List of enclosed documents.)