Not paying utility bills and insurance could hurt credit scores

Dear Experian,

Does paying a utility bill or car or home insurance late affect your credit scores?



Dear FXR,

Insurance payments are not typically reported to the national credit reporting companies and utility payments are only reported in a few states. So, for most consumers there is no payment history in your credit report for these accounts.

However, if you miss payments and do not bring your payments current, the utility provider or insurance company could send the delinquent payment amount to a collection agency. The collection agency would almost certainly report the unpaid amount to the national credit reporting companies.

At that point, it would become part of your credit report and would negatively impact your credit scores.

Thanks for asking.

- The “Ask Experian” team