You can’t turn on a TV or radio, read a newspaper, or click your way through the internet,; without being bombarded of stories of banks and finance companies being far less quick to loan money. After years where it seemed banks would give a large home loan to anyone with a pulse; those same institutions are under enormous pressure to limit loans to anyone preseved as being a higher–risk.
As lenders increase the selectivness of who meets their new standards, a higher credit score has become a necessity in obtainilng credit period. What fewer people realize is the dramtic impact that your credit score can have on your Auto insurance rates.
“Credit impacts every element of your life,” says Adam Levin, co-founder and chairman of Credit.com, a consumer advocacy website. “The stronger your credit, the easier it is to get the things you want.”
Whenever you’re applying for health, life, or auto insurance, many companies will pull your credit report when you apply for insurance. Progressive, Geico, State Farm and Allstate all run your credit report prior to starting your coverage, and each of them state that they have studies that have linked poor credit with higher claims and or a greater frequency of insurance claims. Insurance companies not wanting to lose money ; yet opporationg in a very competitive markiet place utalize credit scores as a means of selection. — if you’re score is deemed not a safe bet for them, they’ll surscarge your rates. The surcharge connected to a low credit score can be larger than the charge for Drunk driving.
No, We do not need to run your credit: therefore poor or less than perfect credit does not effect your rates. Unlike many insurance companies today we can offer you auto insurance without “Running your credit”. Since we do not put your credit report: we have no need to ask for your social security number