Does Checking Your Credit Score Lower It?

Monitoring your FICO credit score is a smart habit that can help you make responsible and informed money decisions. But does checking your credit score lower it? 

Does a credit check lower your score? 

Checking your own credit report or FICO score won’t affect your credit. In fact, financial experts and agencies advise reviewing your credit report at least once a year, if not quarterly. 

Performing your own credit check might not affect it, but credit checks performed by others may. 

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Other factors that can lower your credit score 

Missed payments 

Making late payments, or missing them altogether, is the fastest way to ruin your credit score. Lenders, employers, and landlords see missed and late payments as a massive red flag because it indicates that you may not be responsible. 

Bad credit utilization 

Poor credit utilization is when you use all or most of your available credit. While you won’t get penalized for maxing out your available credit, lenders may see it as a warning sign. As a general rule, you should try to use no more than 30% of your available credit. 

A short credit history 

If you’re new to credit cards or loans, you can’t help but have a short credit history. Unfortunately, the shorter your credit history, the harder it will be to have a high credit score. Try to keep your oldest credit account open, even if you’re no longer using it. 

Not having multiple forms of credit 

As the saying goes, you don’t want to put all your eggs in one basket. In the same way, only having one type of credit, whether it’s personal loans, credit cards, or student loans, is a red flag for lenders. They want to see variety in your credit mix, which means having multiple forms of credit. 

Opening too many credit accounts too quickly 

Applying for multiple loans or credit cards within a short period of time could hurt your credit score. While opening new credit lines is a good way to build credit, it’s important to space them out appropriately. 

In general, you should avoid applying for more than one new account in a six-month period. 

Closing a credit account 

Closing an account won’t always hurt your credit score, but you don’t want to close the oldest one. When you close your oldest account, you reduce the length of your credit history, which is bad for your credit score. 

Lowering your credit limit 

In addition to reducing the amount of credit at your disposal, lowering your credit limit could also hurt your score. As such, it’s important to be responsible with your available credit so that your credit card company doesn’t penalize you by reducing your credit limit. 

Cosigning a bad loan 

Cosigning a loan can help a friend or family member who has a bad credit score. Unfortunately, it could destroy your credit. If they make late payments or default on the loan, you’re responsible for resolving the account — and your credit score will take the brunt of the punishment. 

Mistakes on your credit report 

Mistakes happen. Credit-reporting agencies aren’t perfect, and sometimes errors show up on your credit report. Luckily, if you catch the error, you can resolve it and undo any damage it might have caused to your score. This is one of the main reasons it’s important to check your credit report often. 

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How to check your credit score Many credit card companies provide your credit score for free — just look in your credit card app or online account. If not, see if your bank or credit union offers it. Check your online portal or ask a teller for details. 

If nothing else, you can always request a free or paid credit score from one of the three credit bureaus: Equifax, TransUnion, and Experian. And, while you can’t get your actual FICO credit score, you can check your full credit report for free at AnnualCreditReport.com. 

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