Economic difficulties caused many consumers to be late on their credit card payments, which had an impact on their credit score.
That, in turn, could make it more difficult for them to get certain types of coverage, which may include life insurance. However, the negative trend of consumers being behind on their credit cards may be easing, according to a recent report.
Moody's Investors Services said the number of defaulted accounts declined from 10.03 percent in August to 8.9 percent in September.
"We are in part of the credit cycle where the historically strong correlation between the charge-off rate and the unemployment rate has weakened," said Jeffry Hibbs, an analyst with the firm.
While the number of defaulted accounts may be dropping, a lot of it could be due to issuers getting rid of clients with poor payment histories and leaving those in stronger financial positions.
Payment histories can not only affect a person's ability to get a credit card. Companies that issue life insurance policies and other forms of protection will consider a person's financial past before transacting with them.