How2Day: Banks That Offer Fresh Start Checking Accounts

After a checking account remains overdrawn or at a negative balance for an extended period of time, banks will typically charge off the amount the account holder owes and sends the debt to a collections agency. In addition, banks typically file reports to an organization known as ChexSystems. When you attempt to open a new account, most banks consult a ChexSystems list and usually refuse to offer accounts if your name appears on the list. Fortunately, some banks offer special "fresh start" checking accounts for people who appear on ChexSystems, giving them a second chance to own an account.

PNC Bank began in 1852 as Pittsburgh Trust and Savings Co., changing its name to the Pittsburgh National Corporation (PNC) Bank in 1982. Sill headquartered in Pittsburgh, Pennsylvania, the bank had more than 5 million customers as of November 2010, according to its website. The publicly traded bank had more than 2,400 branches located in 15 states and Washington, D.C., at that time.

For customers who have ChexSystems reports, PNC Bank offers its Foundation Checking account. The account requires no minimum balance, and the bank waives monthly service charges for the first year to help you build up your balance and grow accustomed to using the account. A Visa check card is available for the account, which you can use to make purchases or withdraw money from an automated teller machine. Online and telephone banking are also available with the account. In exchange for granting the account, PNC requires Foundation Checking customers to attend a two-hour training course that covers topics like balancing a checkbook and household budgeting.

Liberty Savings Bank opened in 1889 as the Lynchburg Building and Loan Association. The privately owned bank changed its name in 1984. The institution operates from headquarters in Dayton, Ohio. As of November 2010, the bank had 37 branches located throughout Colorado, Florida, Ohio and South Carolina.

The fresh start checking account at Liberty Savings Bank is known as the Clean Slate Checking account. At its discretion, the bank will open this account for individuals listed on ChexSystems based upon the severity of the report as detailed by the service. The account has no minimum balance requirements but does require the payment of a monthly service charge. You may access funds in the account with checks only; the bank does not issue debit or ATM cards for the Clean Slate account. Online banking is available for the account. After successfully maintaining your account for one year without accruing any nonsufficient funds or overdraft fees, Liberty Savings Bank will give you the option to convert the account to a standard checking, which offers debit cards and other benefits.

Republic Bank formed in 1977 after investors purchased Republic Bank of Shelby County, a financial institution that opened during the late 19th century. A publicly traded company, the bank had 44 branch locations as of November 2010, serving the states of Forida, Indiana, Kentucky and Ohio. The institutional headquarters for the organization are in Louisville, Kentucky.

Simply called Fresh Start checking, the second-chance checking account at Republic Bank is an entirely electronic product. You do not receive checks with the account; instead, you make all purchases using check card. The card is also usable in ATMs. The account does not carry a minimum balance, but the bank does assess a fee to open it. After that, the bank assesses a monthly maintenance fee, offering discounts on the cost of the fee if you receive a payroll or other regular direct deposit into the account. Online banking is available for the Fresh Start account.

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