Credit,Cards,Vs.,Insurance,Rat finance, share, loan Credit Cards Vs. Insurance Rates
If your financial problems have reached the point where you do not see a way out and you feel as though you are drowning in debt, your best way out is through declaring bankruptcy. Filing may well allow you to get your finances back on track Thankfully, there are now several web sites that are there to help people like you with bad credit to find the fast personal loans that you need. When you have bad credit, the first thing that you should be looking for is a loan company that
Are insurance rates really affected by credit cards? Some think that is a ridiculous notion. The thought that the two are even remotely related is absurd; isn't it? How can paying credit cards late, having too much credit card debt, or even a delinquent credit card bill affect your insurance rates. Well, let me tell you how.What many consumers dont know is that in many states, insurance companies have lobbied, and won the right from the legislature, to gain access to your credit report. The legislature has passed bills that give insurance companies the right to examine your credit score to determine rates, and even in some cases deny coverage altogether.Supposedly, the argument by insurance companies has been, that if a consumer pays their bills late, or is delinquent on their bills, or is irresponsible in accumulating too much debt, then the consumer is obviously irresponsible in all aspects of life. This would theoretically include, bad driving and being delinquent on insurance payments. This in turn; as they argue; would make the insured a high-risk driver.Whats most fascinating thing about these laws, is that in many states, they require consumers to purchase a minimum amount of automobile insurance. Many states have heavy penalties for individuals who don't carry the required automobile insurance.Okay, so what if you have such a bad credit score, that you cant get automobile insurance? Hmm...thats a good question. In the states that force consumers to buy automobile insurance at rates that are determined by the insurance industry, based upon your credit rating, there are usually special state-run insurance programs that are for high-risk drivers and consumers that have bad credit score. So if a consumer cant attain automobile insurance due to bad credit, then they would be labeled as high-risk drivers.What is a high-risk driver? A high-risk driver, is someone who has been convicted of driving while intoxicated, driving under the influence, vehicular manslaughter, drug possession, or it could just be anyone who has an excessive amount of traffic tickets or numerous accidents on their driving record.Now back to the initial question: How do credit cards affect your insurance rates? Answer: Too much credit card debt, too many late credit card payments, and any credit card delinquencies on your credit report, and youre looking at a hefty insurance rate. Article Tags: Credit Cards, Insurance Rates, Credit Card, Many States, Insurance Companies, Credit Score, Automobile Insurance
Credit,Cards,Vs.,Insurance,Rat