Missed credit card payments, late mortgage payments, missed insurance premiums and bankruptcy can stay as a blotch on your credit report and drag down your score in the long run. Nothing can be worse than applying for a new line of credit with a poor credit score as you’ll be subject to unaffordable interest rates that can take a toll on your wallet. Not only will you be subject to outrageously high interest rates, but you may even be turned down by your bank when you want to open a checking account. Just as you need to get debt help in order to boost your credit score and get loans at an affordable rate, there are ways in which you can still open a checking account with a bad credit score. If you’re not aware of the steps to take, here are some of them.
- Visit the bank where your employer has an account: he first step that you need to take is to visit the bank where your employer holds the account and while you cash your paycheck, you need to tell them about the financial hardship that you’re going through. The bank representative should let you know how much stringent and tough the regulations of the bank can be if they let you open a checking account.
- Fill out the application form in detail:Soon after you know the rules and regulations of the bank, you have to fill out the application form for a checking account after going through each and every detail. It is most common that you have to mention your current address, the Social Security date, your name and your date of birth.
- Wait for the approval: As you provide them with the personal details, you’ll have to wait for the bank representative to run the SS number through an electronic record so that you may get to know whether or not it is approved. Deposit the cash and start maintaining your checking account.
- Look for a bank who accepts bad credit borrowers: In case your checking account application form is rejected by the bank where your employer has the account, you should start looking for the bank that allows the bad credit people to open a checking account. Banks like Wells Fargo may accept the people with a poor credit score so that they can start off with their checking account. You may fill out their application form so that you get to know whether or not they’re accepting you as a checking account customer.
- You may visit a local credit union: You may even visit a local credit union so that you can effortlessly start off with a checking account. Such institutions are not much likely to check your credit score or credit rating before working with you. So, you can even create a checking account with them so as to save your bucks.
If you want to prove yourself as a loyal consumer, you should make sure that you maintain your account in the best way possible so that you can establish good faith. Stay in touch with your bank manager so that you may be updated about the changes in the account information.