7 Mistakes That Are Killing Your Credit Score (and How to Fix Them)
By someone who’s been there, done that, and got the overdraft charges to prove it.
Hi,
Yeah, you with the browser tab open wondering why your credit score won’t budge or, worse, is dropping faster than your phone battery on a night out. First of all, let me say this: you’re not alone. Seriously. If I had a dollar for every time I ignored a bill thinking “I’ll get to it later,” I’d have… well, the money I needed to pay those bills.
This isn’t one of those dry, lecture-type blogs that make you feel like you’re sitting in a bank seminar surrounded by people who own briefcases and use words like “fiscal responsibility.” Nope. This is real talk, from one person who’s messed up, learned, and climbed their way back to someone who’s probably scrolling with a bit of anxiety right now.
So let’s talk credit scores. They can feel like this mysterious number that rules your financial life like some mean high school principal. But it doesn’t have to be that way.
Let’s dive into the 7 sneaky mistakes that might be quietly wrecking your credit score, and more importantly, how to fix them before they take you down like that one friend who always “forgets their wallet.”
1. Missing Payments (Even Just One)
Let’s start with the biggest gut-puncher. Missed payments.
I remember this one time I had just started a new job, and everything was chaos, new commute, new schedule, new “I deserve this” spending habits. One small store credit card payment slipped through the cracks. Just $32. That’s it.
Guess what? My credit score took a 72-point nosedive.
Missing a single payment can stay on your report for seven years. That’s longer than some relationships, and way more bitter.
How to fix it:
Set reminders. Seriously. Google Calendar, sticky notes, alarms, your cat’s collar, whatever works. And if you’ve already missed one, call your creditor. Some of them actually have a heart and will waive the report if you’re fast and honest about it.
2. Maxing Out Your Credit Cards
You know that “available credit” number? That’s not an invitation to treat your card like a free-for-all shopping spree.
I used to think, “As long as I pay the minimum, I’m fine, right?” Wrong. Turns out, credit utilization, that’s how much of your credit limit you’re using, is a HUGE factor.
Like, 30% of your score kind of huge.
If your card has a $1,000 limit and you’ve spent $900, even if you’re making payments, that’s a red flag. It tells lenders you’re possibly living paycheck to paycheck, even if you’re not.
How to fix it:
Try to keep your usage under 30%, ideally 10% if you can swing it. And if you’ve already maxed out a card, consider spreading your balance across multiple cards or doing a balance transfer (just read the fine print!).
3. Closing Old Credit Cards
Look, I get it. That card from college with the ugly logo and a 24% interest rate feels like a bad ex. But hear me out before you cancel it.
Old credit accounts help your credit age, and age, for once in life, is a good thing. It shows you’ve had credit for a while and can manage it (even if you didn’t always).
True story: I closed my first-ever card because I thought, “No annual fee? No perks? BYE.” That closure dropped my score by 40 points overnight.
How to fix it:
If the card isn’t costing you anything, keep it open and use it once in a while for a small charge, like gas or a coffee, and pay it off immediately. Keeps it active, keeps your history intact, and costs you nothing.
4. Applying for Too Much Credit at Once
Ever heard the saying “desperate isn’t a good look”? That applies to credit too.
Every time you apply for a new credit card or loan, there’s a hard inquiry, and too many of these in a short period can make you look financially unstable or like you’re trying to outrun something. (Been there.)
I remember one month I applied for three store cards just to get the 15% discount. Rookie move. My score dropped, and I still had to return the pants I bought. Win-win? Not quite.
How to fix it:
Space out your applications. And shop around using pre-qualification tools that do soft pulls instead. Your score stays safe, and you still get to explore your options.
5. Ignoring Collections or Old Debts
Let’s not sugarcoat this. That debt you’ve been ignoring? It’s not going away, and no, you can’t just wait for it to “fall off” your report (though technically after 7 years it might, but do you really want to wait that long?).
I had a $93 gym membership that went to collections because I moved and didn’t cancel. I thought, “It’s under $100, no biggie.” Wrong. It haunted my credit report like a ghost in a horror movie.
How to fix it:
Contact the collection agency and ask for a pay-for-delete agreement. Some will remove it from your report if you settle. Just be sure to get it in writing. And remember, paid collections look way better than unpaid ones.
6. Not Having Any Credit Mix
Credit isn’t just about how much you owe, it’s also about what kinds of credit you have. Weird, right?
If all you have are credit cards and no loans (or vice versa), your score might be lower than someone with a mix. It’s like showing you can only ride a bike when the real test is a triathlon.
How to fix it:
Don’t open new accounts just for variety. That’s like adopting a dog just because your dating profile needs a boost. But if you’re thinking about financing something anyway, say, a car or a small personal loan, it might help diversify your report and boost your score over time.
7. Not Monitoring Your Credit Report
Okay, real talk, when’s the last time you actually looked at your credit report?
For years, I avoided it like my high school math teacher. I thought if I didn’t see it, it couldn’t hurt me. Turns out, errors happen all the time. From incorrect balances to accounts that don’t belong to you.
I once found a medical bill from a state I’ve never even visited. Called it out, disputed it, and saw a 35-point bump after it was removed.
How to fix it:
You’re entitled to a free report every year from each of the big three: Experian, Equifax, and TransUnion. That’s three chances a year to catch errors and fix ‘em. Use it. Review it. Protect your score like it’s your digital baby.
Final Thoughts (a.k.a. The Pep Talk You Didn’t Know You Needed)
Listen, if your credit score is in the dumps, don’t beat yourself up. Like, seriously. You’re not broken, you’re just… learning.
Fixing credit isn’t just about numbers, it’s about healing the way we relate to money. It’s about forgiving ourselves for past mistakes, learning from them, and building something better. Trust me, I know how overwhelming it can feel. I’ve sat there refreshing my credit app hoping for a miracle. But here’s the thing: progress is possible, and small steps do add up.
Start today. Right now. Pick just one thing from this list and tackle it. Then another next week. You don’t have to fix everything at once. You just have to start.
One last thing: your credit score is not your worth. It’s just a number that reflects some choices you made in specific moments. It can change, just like your story can.
You’ve got this. And I’m rooting for you.
If this post helped you or made you feel less alone, share it with someone who needs to hear it too. Let’s lift each other up and build financial freedom together, one paid-off balance at a time.
P.S. Got questions or need someone to cheer you on through your credit journey? Drop a comment. I read every single one.