Just as a poor credit score results in a higher interest rate on loans, it can also influence your home insurance premiums. Many states let insurers use your credit score when determining a premium. That credit score is a number that reflects your bill payment history, current amount of debt, and other measures of financial responsibility. It’s a quick way for a bank to determine how risky an investment you are.
The insurance industry is also a financial one. If you appear to be a risky customer with a history of missing payments, you could see that reflected in your premiums. The easiest way to avoid that is by taking the necessary steps to raise your credit rating: Big Boss votepay your bills on time every time, keep credit card balances low and eliminate debt.
