Updated: May 23, 2023

5 Surprising Things That Don't Affect Your Credit

There are a few surprising things that will never affect your credit score. Read on to find out which of your finances will never be assessed.
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When it comes to your credit score, you may be surprised to discover how many activities and endeavors can lower your good standing. The good news is, there are some things that will never affect it.

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1. Being denied when applying for credit

Though applying for credit initiates a hard inquiry on your report, which can ding your score by a few points, if you're rejected there is no bearing or indicator of that on your credit score. If you're concerned about damage being done to your credit, avoid applying for credit too frequently.

2. A temporary break from using your cards

If you decide to go without credit for some time, that's totally fine, and won't affect your credit score. However, if you allow your card(s) to fall dormant for a prolonged period of time, card issuers may eventually close your inactive account, which will damage to your score.

3. Income changes

Increases, decreases, or stagnation of your income won't affect your credit score. Information regarding your employer can be listed on your credit report, but fluctuation in your income is something credit scoring companies do not factor into when assessing your creditworthiness. However, having a higher salary could help you in the long run since you will be more likely to be able to pay your bills and avoid falling into debt.

4. Skipping out on rent

Here's some good news for renters with stress-inducing landlords. Withholding your rent due to a dispute or a broken lease does not affect your credit, unless the situation escalates to legal action. Evictions harm your credit score and may negatively affect being able to rent an apartment in the future or even take out credit cards or loans.

5. Insurance payments

Timely or late payments you make on your insurance are never reported to the credit bureaus, and will never affect your score. However, insurance companies do check your creditworthiness to decide whether or not to insure you.

In a world where financial institutions seem cognizant of almost everything we do, it's good to know that there are a few things they have no bearing on. What better way to improve your credit score than to know exactly what credit scoring companies will never see or care about?