Comments on: Credit Score and Insurance Rate

By: Moolanomy weekly roundup #3: “My Credit Score” edition | Moolanomy

Sun, 12 Aug 2007 14:20:47 +0000

[...] Sun’s Financial Diary wrote Credit Score and Insurance Rate. Yet another example of how your score are being used the way it never has been. Kind of scary [...]

By: Advanced Personal Finance

Advanced Personal Finance — Mon, 18 Jun 2007 13:05:02 +0000

What Does Credit History Really Say?…

I was mulling over posting about the use of credit history and FICO score for what I’d consider ‘non-traditional’ uses. Now that I’ve read an excellent post Sun did on credit scores and insurance rates, it kicked me in the butt…

By: Sun

Sun — Fri, 15 Jun 2007 18:53:24 +0000

Minimum Wage: Thanks for sharing your story. I am sure things will get better for you and there are lots of better paying jobs. It’s tough to rebuild your credit, but that’s not something that can’t be done.

TFB: It’s true that when you have a perfect score, then none of these actually matters any more. It’s always desirable to have a good credit score, no matter what it is for, loan or insurance.

By: TFB

TFB — Fri, 15 Jun 2007 14:24:51 +0000

I don’t think one should be overly concerned if one has good credit. The credit score screen at the insurance companies is more likely a negative screen. If someone has bad credit, they will add a surcharge, but if your credit score is already 750, i.e. good, you won’t get a further discount if you make your score to 800.

By: Minimum Wage

Minimum Wage — Thu, 14 Jun 2007 19:01:19 +0000

My credit went from good to bad in a hurry due to an extended illness during which I was unable to work. In hospital and without income, I was unable to pay my bills, and all my active open accounts were closed and charged off.

I ended up with a tax lien, a creditor judgment, and a bunch of chargeoffs. I am working again, earning minimum wage, but I cannot resolve those first two issues (which won’t drop off my credit report until resolved) on my income, suggesting that I might never be able to get my credit out of the tank.

So now I quickly went from a good risk to a bad risk, and remain a bad risk indefinitely? I don’t think so!