This Quick Tip Could Potentially Lower Your Insurance Premiums
20% of consumers have errors on their credit report. Do you?
Your credit score is a huge big part of how insurance carriers calculate your rates. You might take your credit score – whether it’s low or high – at face value, and think there’s not much you can do about it besides pay your bills on time and patiently wait for the number to climb.
But according to the Federal Trade Commission, 20% of consumers who dispute credit report errors end up seeing an improvement in their score.
Inaccuracies in your report could lead to you paying hundreds, or even thousands more in premiums year after year, so it definitely pays to check your report for inaccuracies.
Simply obtain an up-to-date credit report (there are a few sites where you can do this for free) and look for the following:
- Inaccurate addresses
- Overdue bills that you’ve already paid
- Items or accounts that you aren’t familiar with
If you see anything that looks suspect, send a letter to the credit reporting agency to dispute the items. They’ll have 30 days to investigate. If they can’t find proof that the information is accurate, they have to strike it from your report, which will likely improve your score.
In general, it’s a good idea to check your credit report for accuracy at least once a year. Your credit score is a huge part of of everything you do – make sure it’s correct!