Top Credit Myths Debunked—What You Really Need to Know

When it comes to credit, misinformation is everywhere. From social media myths to outdated financial advice, it’s easy to get confused about what actually helps—or hurts—your credit score. At Credit Done Right, we’re here to set the record straight. Let’s bust the most common credit myths and get you the facts you need to make smarter financial decisions.

Myth #1: “Paying off all your debt instantly boosts your score”

The Truth: Paying down debt is definitely a good move, but it doesn’t always result in an immediate credit score increase. Why? Because your score is based on several factors, including your credit history, utilization ratio, and mix of credit. If you suddenly close accounts or pay off a loan completely, it could even cause a short-term dip in your score.

✅ What to do instead: Focus on maintaining low balances and making consistent, on-time payments to build a stronger score over time.

Myth #2: “You only have one credit score”

The Truth: You actually have many credit scores. Each of the three major bureaus (Experian, Equifax, and TransUnion) calculates its own version, and lenders may use different models (like FICO or VantageScore) depending on the type of loan you’re applying for.

✅ What to do instead: Regularly monitor your credit reports from all three bureaus and focus on building good credit habits across the board.

Myth #3: “You need to hire a lawyer to repair your credit”

The Truth: You have the legal right to dispute errors on your credit report yourself. A lawyer isn’t required. That said, the process can be time-consuming and confusing. Working with a reputable credit repair company like Credit Done Rightcan save time and provide expertise—especially if you’re dealing with multiple issues.

✅ What to do instead: Understand your rights under the Fair Credit Reporting Act (FCRA) and choose trustworthy help if you need it.

Myth #4: “Credit repair is a scam”

The Truth: There are scams out there—no doubt. But legitimate credit repair companies follow the law, provide transparent services, and help clients achieve real results. The key is to look for providers that offer honest expectations, written contracts, and no false guarantees.

✅ What to do instead: Avoid companies that promise a “quick fix” or a specific credit score. If it sounds too good to be true, it probably is.

Myth #5: “Checking your credit score hurts it”

The Truth: Checking your own credit score is considered a “soft inquiry” and does not affect your score. Only “hard inquiries”—like when you apply for a loan or credit card—can cause a temporary dip.

✅ What to do instead: Monitor your credit regularly to catch errors and track your progress. Knowledge is power.

Bonus Myth: “You should avoid using credit cards completely”

The Truth: While avoiding credit cards might seem like a safe option, responsible use of credit is essential to building and maintaining a good score. If you never use credit, you don’t build a history—and that can hurt you when you need a loan or mortgage.

✅ What to do instead: Use a credit card for small purchases and pay it off each month. This builds a positive payment history and keeps your utilization low.

Bottom Line: Don’t Let Credit Myths Hold You Back

Your credit is too important to base on bad advice. Whether you’re just starting your credit journey or trying to recover from past mistakes, the truth is this: You can take control of your credit—and we can help.

Contact Credit Done Right today for a free consultation and get expert guidance based on facts, not fiction.