10 Myths About Credit Scores You Should Stop Believing

Myth 7: Only People with Debt Have Credit Scores

Some believe you must be in debt to have a score, but that’s false. What you need is a credit history, not debt. Even if you avoid loans, you can build credit through other means.

For example, using a secured credit card, becoming an authorized user on someone else’s account, or taking out a small credit-builder loan can help you generate positive credit activity without carrying large amounts of debt.

The goal is to show consistent, responsible credit usage—not to accumulate debt. A strong score is built by using credit wisely, not by owing money.

Myth 8: One Late Payment Won’t Hurt Your Credit

Many people think a single late payment isn’t a big deal, but even one missed payment can cause serious damage. Payment history makes up 35% of your FICO score, the largest factor in the formula. A late payment can drop your score by 60–100 points depending on your profile.

The longer a payment goes unpaid, the worse it gets. A payment that’s 30 days late isn’t as damaging as one that’s 90 days late, but both will stay on your credit report for seven years.

The safest way to avoid this is to set up autopay or reminders. Even one late payment can undo years of good credit behavior, so staying consistent is essential.