Credit report and Auto insurance

[Logan]

USAA is letting me back for auto insurance but their quote was almost twice as much as my current insurance rates with Geico. I received an explanation in the mail and it implied the high rates were due to my credit report. I sent for the report from consumerdisclosure.com just to see what it says.

The funny thing is they've decided that I'm high risk because of my BK yet I haven't been involved in an accident in 11 or 12 years and the only accident I was at fault was when I was 17 over 24 years ago.

My wife on the other hand has a FICO of 795 and has been involved in 3 accidents in the last 5 years and 2 were her fault. We didn't report 1 of them since it was just under our 1K deductible but it shows in our case that FICO and credit are worthless when determining driving risk.

In the end it is USAA's loss since there are plenty of options and I doubt that I would have saved much at all since my insurance is very reasonable.

Logan

PS...Thanks to the BK I am in great shape financially and there is absolutely no reason why a company shouldn't be doing business with me since I am low risk. Since there are plenty of great options I am going to remember who will do business with me and who won't.

I will never do business again with USAA since they want to punish me but I win in the end. Since they won't allow me to access there website they have to mail me a statement every quarter for a ROTH IRA with a balance of $350 (this costs them money). Meanwhile I will take my business to Geico and other companies that will take care of me even though I had a BK.

[CCsAreEvil]

Because insurance companies are almost as bad as credit card issuers. It's a "legal scam" that they can get away with. This is why we almost need to (sometimes reluctantly) be part of the system in re-building our credit. But that's what gets most people in trouble in the first place. Doesn't make a lot of sense, does it? The whole system is wacked.

Here's another one for you. I knew that I could keep my credit score high by having a very high total credit line. It was floating somewhere around $150k available credit. However, having an overall balance of less than $75k for a long time (only 50% utilization), I was able to keep a FICO score about 720. However, I was way over extended. Go figure. The FICO scoring system has plenty of flaws.