5 Mistakes That Are Killing Your Credit Score (And How to Fix Them)

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Your credit score isn’t just a number — it’s a major factor that impacts your ability to get approved for loans, credit cards, mortgages, and even apartments. Yet, many people unknowingly make mistakes that drag their scores down.

If you’re struggling to build or maintain a healthy credit score, these five common mistakes might be to blame. The good news? You can fix them — starting today.

1. Missing Payments or Paying Late

Your payment history makes up 35% of your credit score — the largest single factor. Just one missed payment can stay on your credit report for up to seven years.

Fix it:

  • Set up automatic payments or calendar reminders.
  • If you’ve already missed a payment, contact the lender to see if they’ll remove the late mark as a one-time courtesy.

2. Maxing Out Your Credit Cards

Using too much of your available credit (known as credit utilization) can signal that you’re overextended, even if you pay on time. Ideally, you should keep utilization below 30% of your total credit limit.

Fix it:

  • Pay down balances frequently, not just once a month.
  • Ask for a credit limit increase (but don’t use the extra limit).
  • Open a new credit card only if you can manage it responsibly.

3. Closing Old Credit Accounts

It might feel smart to close a credit card you’re not using, but doing so can hurt your score by reducing your average account age and total available credit.

Fix it:

  • Keep older accounts open, even if you rarely use them.
  • Use old cards for small purchases and pay them off to keep them active.

4. Applying for Too Much Credit at Once

Every time you apply for new credit, a hard inquiry is made. Multiple hard inquiries in a short time can make you look desperate to lenders — and lower your score.

Fix it:

  • Space out credit applications by several months.
  • Use prequalification tools that use soft inquiries and don’t impact your score.

5. Ignoring Your Credit Report

Mistakes on your credit report can cost you major points. These errors may include incorrect balances, outdated accounts, or even fraudulent activity.

Fix it:

  • Check your credit report for free at AnnualCreditReport.com from all three bureaus.
  • Dispute any inaccuracies immediately — it’s your legal right.

Final Thoughts: Stay Credit Smart

Improving your credit score doesn’t happen overnight, but avoiding these five common mistakes can make a big difference over time. Pay your bills on time, keep balances low, and stay on top of your credit reports.

Remember: A good credit score isn’t just about borrowing — it’s about financial freedom and peace of mind.