subject: Looking For Bank Accounts For Bad Credit? [print this page] Bad credit happens for a variety of reasons, some legitimate where some wrong reporting might have happened at the credit agency and some illegitimate where you have not managed your finances properly and so might have ended in bankruptcy or even some kinds of financial fraud. So, depending on the type of bad credit, you might be allowed to open a bank account. If you have filed for bankruptcy or have been involved in financial fraud, then you will most probably not be allowed to open an account with any of the leading banks. Its basically a blot on your financial status and unless you hit on some luck with many of the online schemes that promise you bank account in exchange for a fee, you are likely to be stuck without a bank account.
But if your bad credit is only due to some minor financial irregularity or due to some incorrect reporting, then there is a good chance that you might be allowed to open at least a basic bank account, where you have credit and check withdrawal access but not debit cards or overdrafts etc. You can also set u regular payments for your credit cards and such stuff but this will be highly controlled and basically strictly monitored as well, at least in the initial phases. Your bad credit history will go away with time and as long as you maintain a good history and do well with the new bank account, you have a very good chance that the other facilities will be restored as well, albeit a bit slowly.
So, judge what kind of bad credit history that you have and discuss with a few banks about your history and what kind of account that they can offer. You can discuss with them about your needs, the reason for the bad credit and see what kind of facilities that they can give you. You need to be careful if you choose to go for the several offers online that promise you a fully fledged bank account for a fee. Most of these are scams and they tend to take money from you and vanish. You would be better off sticking to directly dealing with the banks but if you dont make much headway with them, then trying out a trustworthy company for opening a bank account in return for a fee might be well worth trying. Choose such companies carefully after hearing feedback about them from various sources and also after discussing thoroughly with them about all the details.
