Don’t Fall For It! Do You Know These Credit Myths?

This week in our series on financial myths, we’re tackling two popular misconceptions about credit.

Myth 1: Carrying a Balance Boosts Your Credit Score

It’s a common belief that carrying a balance on your credit card is beneficial. In reality, it’s the opposite. Carrying a balance means you have to pay interest, and a higher credit utilization ratio (credit used vs. credit limit) can negatively impact your score. Here’s the full story on why this myth persists.

Myth 2: Checking Your Credit Hurts Your Score

Another common myth is that checking your own credit report can damage your score. This is false. In fact, regularly checking your report is crucial to monitor for errors or signs of identity theft so it can actually help protect your credit. Here’s what you need to know about checking your own credit. (Including how to do it for FREE)