The ads on television telling you to check your credit score were right.
It is pretty important, and it's even more important if you're trying to get car insurance.
Many of the top insurance companies will run your credit before giving you a rate quote.
This is because they'll be giving you a quote that's higher than someone with better credit, all else being equal.
The connection between credit rating and driving ability is a blurry one, and is worth looking into.
If this sounds like it's an unfair practice to you, you're in good company.
Many people have complained that this is an unfair practice.
What does having bad credit have to say about the risk you are on the road.
Many people with bad credit are excellent drivers, and many with excellent credit are horrible drivers.
However, according to research cited by the insurance companies how you handle your credit correlates to how you handle other aspects of your life, including how you drive.
They went as far as to say that those with better credit are more likely to take care of their home.
Pause for a moment and picture an octogenarian with triple A credit behind the wheel.
Every statistic has its outliers, and using a research study that came to that conclusion overlooks those people out there that have less than perfect credit but drive with care.
The other way that this research falls apart under scrutiny is that your credit score can't kill you if you mistreat it.
When people get behind the wheel they realize the responsibility that comes with driving.
Screw up on the road and it could mean your life.
Abuse your credit and nobody's going to die from it.
Another complaint is that those with bad credit have already taken a few financial lumps and are already at a financial disadvantage.
The reason they have bad credit is likely do to the struggling economy, causing them to fall behind on payments and have their credit score lowered.
Now, to make matters worse they have to pay more, sometimes much more, for the same car insurance.
This just makes it harder for people who are already down on their luck and leads to more struggling.
Check with your insurance provider to see if they are factoring your credit score into the rate you receive, and if so, by how much.
It could be in your best interest to change to a provider that will give you a better rate with the same credit score.
Not all providers raise the premium based on a low credit score so it doesn't make sense to stay with one that does if your credit could use a boost.