Credit cards can be powerful tools — or expensive traps — depending on how you use them. Unfortunately, there’s a lot of misinformation out there. Let’s bust five common credit card myths.

Myth 1: Carrying a Balance Helps Your Score

False! You don’t need to carry a balance to build credit. Pay in full every month to avoid interest charges.

Myth 2: You Only Need One Credit Card

Having just one card limits your available credit and can increase your utilization ratio. Multiple cards (used responsibly) can actually help.

Myth 3: Closing Old Accounts Improves Your Score

Closing an old account can shorten your credit history and reduce your total credit limit — both of which can hurt your score.

Myth 4: Checking Your Score Hurts It

Only hard inquiries (like applying for new credit) affect your score. Checking your own score is a soft inquiry and has no impact.

Myth 5: Maxing Out Your Card Is No Big Deal

High balances hurt your utilization rate and signal financial risk. Keep usage below 30%, ideally under 10%.

Conclusion:
Knowing the truth about credit cards helps you use them to your advantage. Smart use equals stronger credit and long-term benefits.