Having a history
of paying bills on time shows the insurer that you are financially responsible and can pay your insurance premiums.
Individuals must first develop healthy financial habits, such
as paying bills on time and maintaining available balances on credit cards.
If your score is below 700, there are ways to improve your credit score
like paying your bills on time, maintaining a low credit card balance and managing your open accounts.
Opening credit accounts is useless for building credit if you will not
pay your bills on time so make sure you are always keeping in line with this step.
So the key is to establish new positive credit and
start paying your bills on time every month, as the adverse effect from your past debts gradually continues to diminish.
If you credit score is not high then you can communicate to the insurer you are attempting to improve your score by letting them know you are
paying your bills on time now.
Never fear, though — if you've been
paying your bills on time since then, then refinancing is definitely the right decision as your credit score has likely improved.
Whether it's student loans or credit cards,
paying bills on time goes a long way in keeping and boosting a good credit score.
As long as the main card
holder pays the bill on time every month and keeps the balance low in relation to their credit limit, your credit score may benefit.
There are times when adding another credit card to your credit history can negatively affect your score — even if the
cardholder pays the bill on time each month.