Credit History In the Context Of Insurance
Credit history in the present is largely based on a system of unfair algorithms that often fail to assess the condition of the person. Individuals thus often end up having a low credit score as a consequence of the environment they are living in while people who are actually in a much poorer condition in comparison to them can have a higher credit score. The fact that the number of persons wanting credit is growing exponentially further aggravates the problem, as banks and lenders in general feel that it would be in their best interest to ignore people with low credit scores rather than to take into account their current situation. Insurance companies in a series of states have also come to practice quotes based on the person's credit score, as this seemingly provides an understanding regarding the risk that a particular person would pose.
Although they often use an algorithm designed to paint a picture of the individual that is as clear as possible, credit scores often fail to reflect reality. "Credit scores can become high or low for minor reasons, which is why credit scores do not always indicate if a consumer has...
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