13. You Pay Down the Wrong Debt First
Paying down your balances can improve your credit score. How much of an improvement you see depends on which debt you pay.
For example, you won’t see much of an increase in your score if you pay off an auto loan, Kelly said. That’s because the credit utilization on installment loans, such as car loans, isn’t weighed as heavily in credit scoring as your utilization of revolving credit.
How to avoid it: If you have a choice of which debt to tackle, “pay down credit cards first to boost your score,” Kelly said.
How to fix it: There isn’t harm done in paying off debt, just opportunities passed up. Pay off credit card debt at the next opportunity.