Your credit score is one of the most important aspects of your financial health, but many people unintentionally damage it without realizing. Small mistakes can have a long-term impact, so it’s important to be aware of what to avoid.
One common mistake is missing payments. Even a single late payment can lower your score significantly. Another issue is using too much of your available credit, which signals to lenders that you might be financially stretched. Constantly applying for new credit cards can also hurt, as multiple inquiries make you look risky.
To keep your score healthy, focus on consistent habits: pay bills on time, use less than 30% of your available credit, and avoid unnecessary debt. Building good credit takes time, but avoiding these mistakes will help you move in the right direction.
