Your credit score can shape your financial life — from loans to job offers.

But so many people still believe outdated myths. Let’s bust them once and for all.

🧨 Top 7 Credit Score Myths (2025 Edition)

❌ Myth #1: Checking your credit score lowers it

Truth: Soft inquiries (like checking your score) do not hurt your score.

Only “hard pulls” (like applying for a loan) affect it.

❌ Myth #2: Carrying a balance improves your score

Truth: You should pay off your full balance every month. Carrying a balance = interest waste, not a boost.

❌ Myth #3: You only have one credit score

Truth: You have multiple scores (FICO, VantageScore) depending on who pulls it and which bureau they use.

❌ Myth #4: Paying off a loan hurts your score

Truth: Your score might dip temporarily due to credit mix change, but it’s good long-term.

❌ Myth #5: You need a credit card to build credit

Truth: Not true anymore. You can now build credit with:

• Rent reporting apps
• Secured loans
• Experian Boost

❌ Myth #6: Closing old cards boosts your score

Truth: No! That reduces your credit age and increases utilization rate.

❌ Myth #7: Income affects your score

Truth: Your salary is not included in your credit score. It matters for loans, but not for your FICO.

🎯 Final Tip:

Credit scores are about habits, not hacks.

• Always pay on time
• Keep usage <30%
• Monitor your report regularly (Credit Karma, AnnualCreditReport.com)

Credit Score Myths Most People Believe – FAQ

❓ What is a good credit score in 2025?

A FICO score of 670 or above is considered good. 740+ is very good, and 800+ is excellent.

❓ How often does my credit score update?

Usually every 30–45 days, depending on your lenders’ reporting cycle.

❓ Does using a debit card build credit?

No. Only credit cards, loans, or reported rent/utility payments help build credit history.

❓ Is it okay to have multiple credit cards?

Yes — just use them wisely and keep utilization low. It can boost your score by improving your credit limit and mix.

❓ What hurts your credit the most?

• Missed payments
• High credit utilization
• Too many hard inquiries
• Defaulted loans