You can get car insurance with bad credit, but you are most likely going to have to pay more than you would have if you had a good credit score.
Auto insurance companies have learned over the years that people who have good credit ratings are less likely to file car insurance claims.
Apparently, the statistics prove this. Who knew?
Because of this knowledge, the insurer uses credit scores as one of the determining factors when calculating the risk of having to pay out on a claim.
The higher the risk of the customer, the higher the premiums the insurance company will charge them.
Obviously, that simply means that you should always try to guard your credit rating.
Difficult times can happen to all of us without warning. Still, if at all possible, always pay your credit card on time - even if it is just the minimum payment.
If circumstances get so bad that you can't even do that, call your credit card company (or whatever company whose bill you are struggling to pay) and ask them to have a little mercy and extend your payment due date a bit.
You may be surprised to discover that they are quite willing to do this for you. It promotes customer loyalty.
All that to say, do whatever you can to keep a good credit rating. If it's too late for you at the moment and the deed has been done, you're going to have to deal with the prospect of getting car insurance with bad credit.
If you're not sure what your credit rating is like at the moment, you can find out!
Every year you are entitled one free credit report. Of course, you can get them more often, but then you'd have to pay. :-)
Here is a list of places you can go to in order to obtain a copy of your credit report and credit score:
If you believe there is an error in your report, speak to someone from that agency and try to have it fixed.
Each state only allows insurance companies to penalize you a certain amount for a bad credit score. The insurance company will then use additional information like your driving history and record and all the usual personal details when totaling up an insurance score.
So, if everything else is in your favor, you should still get a fairly decent price on car insurance with bad credit. Do get even more savings, take the trouble to view all the available car insurance discounts to see where you can get additional savings.
There are things you can do to help your credit score so that you don't
have to worry so much about getting quotes for car insurance with bad credit. Here are a
you can work on improving your credit rating, you will find that the
next time your policy is up for renewal you can get a better quote.
Don't worry! Getting car insurance with bad credit isn't the end of the world. It's just a temporary setback. You can fix this - make the effort.