5 Credit Myths That Are Hurting You (And What to Do Instead)
If you’ve ever been told to “just pay it off and your credit will be fine,” you might want to read this.
Credit advice is everywhere—but a lot of it is flat-out wrong. And believing the wrong things can keep you stuck with a low score, even when you’re trying to do the right thing.
Here are 5 of the most common credit myths we hear (and correct) every week:
1. “Paying off collections improves your score.”
Not always. In fact, paying a collection can often hurt you more.
Once it’s paid, the balance may show as $0—but the derogatory status remains, and the account stays on your report for up to 7 years.
✅ What to do instead:
Challenge the collection if it’s inaccurate, incomplete, or unverifiable. That’s how our team has helped clients get entire collections removed, not just marked paid.
2. “You need to carry a balance to build credit.”
This one just won’t die.
Carrying a balance only costs you interest. What actually matters is that you use your credit card (even for small purchases) and pay it off in full every month.
✅ What to do instead:
Use your card once or twice a month for gas or groceries—then pay it off completely. That shows responsible use without wasting money.
3. “Closing credit cards improves your score.”
Nope. Unless it’s a high-fee card or one you don’t trust yourself with, closing a card can actually hurt your score. You lose that card’s available credit and its age, both of which factor into scoring.
✅ What to do instead:
Keep older, unused cards open—even if you don’t use them often. Just make sure there’s no annual fee and no fraudulent activity.
4. “Checking your credit hurts your score.”
Only if a lender does it.
You can check your own credit as often as you want. It’s called a soft inquiry, and it has no impact on your score.
✅ What to do instead:
Check your own reports regularly at Smart credit and dispute anything that doesn’t belong.
5. “There’s nothing you can do about bad credit—just wait it out.”
Wrong again.
Yes, negative items can stay on your report for 7 years or more. But that doesn’t mean they have to. If something is inaccurate, incomplete, or unverified, you have the right to dispute it and request removal under the Fair Credit Reporting Act (FCRA).
✅ What to do instead:
Talk to a professional. We help people challenge negative accounts and remove harmful information every day—and many of our clients see major improvements long before 7 years pass.
You don’t need to rely on myths or guesswork.
We’ve helped thousands of clients fix their credit using strategies backed by the law—not rumors.