{"id":85015,"date":"2026-01-30T17:17:23","date_gmt":"2026-01-30T11:47:23","guid":{"rendered":"https:\/\/piceapp.com\/blogs\/?p=85015"},"modified":"2026-01-30T17:17:27","modified_gmt":"2026-01-30T11:47:27","slug":"credit-card-myths-and-facts","status":"publish","type":"post","link":"https:\/\/piceapp.com\/blogs\/credit-card-myths-and-facts\/","title":{"rendered":"13 Common Credit Score and Credit Card Myths and Facts"},"content":{"rendered":"\n<div class=\"wp-block-group has-background\" style=\"background-color:#f2f5f9\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<h3 class=\"wp-block-heading\" id=\"key-takeaways\">Key Takeaways<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Checking your own credit score is a soft inquiry and does not harm your score. It is one of the most common credit card myths and facts to know.<\/li>\n\n\n\n<li>Carrying forward credit card balances does not boost your score; timely full payments matter more.<\/li>\n\n\n\n<li>Closing old or zero-balance credit cards can negatively impact your credit history and utilisation ratio.<\/li>\n\n\n\n<li>Income level does not determine your credit score. Repayment behaviour does.<\/li>\n\n\n\n<li>Understanding credit card myths and facts helps you avoid rejections and build long-term credit health.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Do you know that almost 50% of Indians do not check their credit score due to the common myth that it would reduce their score? This misconception often results in loan or credit card rejections when the score falls below 700 or 750. Regularly reviewing your credit score helps you stay informed, improve your credit health and avoid such setbacks.<\/p>\n\n\n\n<p>Let\u2019s debunk some common myths and uncover the real facts about credit scores and credit cards to help you make smarter financial decisions.<\/p>\n\n\n\n<div class=\"wp-block-rank-math-toc-block\" id=\"rank-math-toc\"><h2>Table of Contents<\/h2><nav><ul><li><a href=\"#list-of-credit-card-myths-and-facts\">List of Credit Card Myths and Facts<\/a><\/li><li><a href=\"#conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"list-of-credit-card-myths-and-facts\"><strong>List of Credit Card Myths and Facts<\/strong><\/h2>\n\n\n\n<figure class=\"wp-block-image size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"800\" height=\"533\" src=\"https:\/\/piceapp.com\/blogs\/wp-content\/uploads\/2026\/01\/List-of-Credit-Card-Myths-and-Facts.jpeg\" alt=\"List of Credit Card Myths and Facts\" class=\"wp-image-85017\" style=\"width:840px;height:auto\" title=\"\" srcset=\"https:\/\/piceapp.com\/blogs\/wp-content\/uploads\/2026\/01\/List-of-Credit-Card-Myths-and-Facts.jpeg 800w, https:\/\/piceapp.com\/blogs\/wp-content\/uploads\/2026\/01\/List-of-Credit-Card-Myths-and-Facts-300x200.jpeg 300w, https:\/\/piceapp.com\/blogs\/wp-content\/uploads\/2026\/01\/List-of-Credit-Card-Myths-and-Facts-150x100.jpeg 150w, https:\/\/piceapp.com\/blogs\/wp-content\/uploads\/2026\/01\/List-of-Credit-Card-Myths-and-Facts-768x512.jpeg 768w\" sizes=\"auto, (max-width: 800px) 100vw, 800px\" \/><figcaption><\/figcaption><\/figure>\n\n\n\n<p><strong>Your Credit Score Reduces If You Check<\/strong><\/p>\n\n\n\n<p>You might have a misconception that checking your credit score lowers it. However, if you check your credit score yourself, it is termed a &#8216;soft inquiry&#8217; and does not affect your credit score. However, if a lender checks your credit score, it is termed a &#8216;hard inquiry&#8217; and it might lower your credit score.<\/p>\n\n\n\n<p><strong>Carrying a Balance Improves Your Credit Score<\/strong><\/p>\n\n\n\n<p>If you carry credit card balances to the following month, it might lower your credit score. As a result, avoid carrying forward your credit card balance. Rather, pay the entire bill amount within the bill due date to boost your credit score.<\/p>\n\n\n\n<p><strong>Closing Old Credit Cards Improves Your Credit Score<\/strong><\/p>\n\n\n\n<p>If you close an old account, it impacts the <a href=\"https:\/\/www.experian.com\/blogs\/ask-experian\/credit-education\/score-basics\/credit-utilization-rate\/\" target=\"_blank\" rel=\"noopener\">credit utilisation ratio<\/a>. It additionally shortens your credit history, which might lower your credit score. As a result, it is advisable to maintain a diverse credit mix rather than closing old accounts.<\/p>\n\n\n\n<p><strong>Credit Score Increases Immediately After Debt Repayment<\/strong><\/p>\n\n\n\n<p>Your credit score depends on your credit payment history and utilisation. Paying your credit card debt does not increase your credit score immediately. However, over time, if you continue to pay your bills within the stipulated time, your credit score can increase.<\/p>\n\n\n\n<p><strong>Having Multiple Credit Cards Decreases Your Score<\/strong><\/p>\n\n\n\n<p>If you use multiple credit cards with responsible spending habits, you can avoid a decrease in your credit score. Using multiple credit cards does not directly affect your credit score as long as you pay your bills within the due date and maintain a low credit utilisation ratio.<\/p>\n\n\n\n<p><strong>Paying Off Debt Removes It from Your Credit Report<\/strong><\/p>\n\n\n\n<p>In case you pay off your debt within the stipulated time, it will improve your financial health. However, it remains in your credit report for a certain period. You can check your credit report for discrepancies and report any inaccuracies, if identified.<\/p>\n\n\n\n<p><strong>Co-signing Does Not Impact Your Credit Score<\/strong><\/p>\n\n\n\n<p>If you co-sign a loan with a primary borrower and he\/she fail to pay back the loan, it will affect your credit score adversely. As a result, before you co-sign a loan, ensure you evaluate the risk of default to avoid impacts on your credit score.<\/p>\n\n\n\n<p><strong>Higher Income Means Higher Credit Score<\/strong><\/p>\n\n\n\n<p>Your income is not connected to your credit score. As a result, a higher income does not signify a higher credit score. Credit card issuers consider your income while issuing a card to assess your repayment capacity.<\/p>\n\n\n\n<p><strong>Bankruptcy Ruins Your Credit Score Forever<\/strong><\/p>\n\n\n\n<p>If you are bankrupt for a certain time period, it will reduce your credit score due to non-payment of the borrowed amount. However, you can rebuild your credit score and credit history by paying your debt within the due date, maintaining a low credit utilisation ratio and eliminating new loan applications.<\/p>\n\n\n\n<p><strong>Marriage Merges Your Credit Score with Your Spouse\u2019s Score<\/strong><\/p>\n\n\n\n<p>Even if you marry an individual and your marital status changes, the credit score for each individual remains unique and unaffected. If you opt for a joint loan or credit card after marriage, the lender will consider both of your credit scores for issuance of the card or sanction of the loan.<\/p>\n\n\n\n<p>Notably, if any one of you defaults on the joint loan, it will affect both of your credit scores. As a result, ensure you pay back your outstanding amount within the due date.<\/p>\n\n\n\n<p><strong>Closing Credit Cards with Zero Balances Boosts Your Credit Score<\/strong><\/p>\n\n\n\n<p>If you close a credit card with zero balance, you might identify a reduced credit card score. Closing such a card reduces your credit balance and increases your credit utilisation ratio. As a result, it can adversely affect your credit score.<\/p>\n\n\n\n<p><strong>It Is Not a Good Idea to Enhance Your Credit Limit<\/strong><\/p>\n\n\n\n<p>If you can use your credit card responsibly with financial discipline by paying your bills within the billing cycle, enhancing your credit card limit can help you during financial emergencies. An enhanced credit limit can additionally help you lower your credit utilisation ratio if you spend a small amount out of the total limit, boosting your credit score.<\/p>\n\n\n\n<p><strong>Student Loans Do Not Affect Your Credit Score<\/strong><\/p>\n\n\n\n<p>Your credit score depends on all the loans you have, including credit cards, student loans and others. As a result, to maintain a good credit score, you need to pay back all your loans and EMIs on time.<\/p>\n\n\n\n<p>\ud83d\udca1Pay your credit card bills in an easy and secure way with<a href=\"https:\/\/piceapp.com\/\"> the PICE App<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"conclusion\"><strong>Conclusion<\/strong><\/h2>\n\n\n\n<p>Now that you have clarity on credit score and credit card myths and facts, ensure you do not fall prey to the myths. Knowing the facts about credit scores can help you utilise your card responsibly with proper planning while you maintain a good credit history.<\/p>\n\n\n\n<p>Ensure you pay the credit card bill within the interest-free grace period or at least the minimum due amount to reduce your interest amount. Paying your credit card debt within the stipulated time can significantly improve your credit score over time.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"fa-qs\">FAQs<\/h3>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1769769971541\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Does checking my credit score reduce it?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, self-checks are soft inquiries and do not affect your score.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1769769988469\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Is it good to carry a balance every month?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, carrying balances can increase debt and lower your credit score.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1769770002639\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Will closing unused credit cards improve my score?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, it may increase your credit utilisation ratio and reduce your score.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1769770018719\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Is income linked directly to credit score?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, credit scores depend on credit behaviour, not income.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1769770042654\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">Does marriage combine spouses\u2019 credit scores?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, credit scores remain individual unless you take joint credit.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Do you know that almost 50% of Indians do not check their credit score due to the common myth that it would reduce their score? This misconception often results in loan or credit card rejections when the score falls below 700 or 750. Regularly reviewing your credit score helps you stay informed, improve [&hellip;]<\/p>\n","protected":false},"author":9,"featured_media":85016,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-85015","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-credit-card"],"_links":{"self":[{"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/posts\/85015","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/comments?post=85015"}],"version-history":[{"count":1,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/posts\/85015\/revisions"}],"predecessor-version":[{"id":85018,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/posts\/85015\/revisions\/85018"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/media\/85016"}],"wp:attachment":[{"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/media?parent=85015"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/categories?post=85015"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/piceapp.com\/blogs\/wp-json\/wp\/v2\/tags?post=85015"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}