Term Life with Credit Fraud

[Heather]

I have a client trying to buy a 100k 30 year term policy. we had to write a letter of explanation regarding a judgment for 5k and two collection accounts totaling 2k. Their credit report clearly states fraud victim and you can see that all of their other bills are paid timely but they refuse to pay on fraud accounts.

Is this something you can be turned down for? I wrote policies before on people with actual bad credit.

 

[walthamny]

This is clearly up to the underwriters discretion. Anyone can add fraud warning to their credit report with one phone call. If they are making this an issue, I would advise to file police reports. And then use the police reports to go back to the underwriter. In some jurisdictions, it is hard to get a police report issued for small amounts, so you may need a lawyer.