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Car Insurance and Your Credit Score Greenwood MS

Your credit score is used by car insurance companies to determine what you pay. It's important to know your score before you shop for insurance. It's easily possible that someone who has never had an accident and never filed a claim could pay up to three times as much for insurance as another similar customer with an identical vehicle โ€” because of differences in credit scores.

Allstate Insurance Companies
(662) 453-0060
2004 Highway 82 West
Greenwood, MS
 
Nichols & Associates
(662) 455-1458
105 Walthall Street
Greenwood, MS
 
AIM
(601) 853-3314
PO Box 1220
Greenwood, MS
 
Clark Randy Insurance
(662) 453-1111
214 George Street
Greenwood, MS
 
State Farm Insurance CO
(662) 455-6154
307 Lamar Street
Greenwood, MS
 
Rawson- Steve - State Farm Insurance Agent
(662) 455-6749
307 Lamar Street
Greenwood, MS
 
Direct General Insurance Agency Inc
(662) 455-2800
707 Highway 82 West
Greenwood, MS
 
Ainsworth- Tommie D
(662) 453-1470
409A W Park Ave
Greenwood, MS
 
Pannell- Robert S
(662) 453-6625
105 Grand Blvd
Greenwood, MS
 
Thompson- Hugh R
(662) 455-6749
307 Lamar St
Greenwood, MS
 

Car Insurance and Your Credit Score

Many car insurance companies now use your credit score to determine what you pay. Why? Because they say studies show that customers with poor credit histories are more likely to be in accidents and file claims. They claim that customers with bad scores are higher risks and it's only fair that those customers pay more for their policies.

Insurance regulations in many states now allow this practice, although regulatory administrators admit they don't understand the connection between credit scores and car accident claims.

It's easily possible that someone who has never had an accident and never filed a claim could pay up to three times as much for insurance as another similar customer with an identical vehicle โ€” because of differences in credit scores.

How does it work?
Insurance companies use a secret formula to calculate a customer's "insurance score" that is not quite the same as the more familiar FICO score from credit reporting agencies such as , Transunion, and Experian. Although the score itself may be different, the end result will nearly always be the same. If a customer has a poor FICO score, he'll almost certainly have a poor insurance score.

Companies such as Allstate charge poor-credit customers as much as three times the rate for customers with excellent credit. In fact, credit history is becoming one of the major factors, if not the major factor, in determining insurance rates.

Insurance companies want ...

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