According to one report, 43 million people around the United States who have credit cards believe that having a balance can improve their credit scores. The report details the result of a June 2018 survey that had 1,000 adult respondents.However, according to one senior industry analyst, this is a myth. While how close individuals come to charging up their spending limit is included in the five main benchmarks that create a credit score, having a credit card balance is not.

There are multiple ways having a credit card balance can negatively impact credit card users. Having a balance means that the users will have to pay unnecessary interest. According a study conducted by a credit reporting agency, the average resident has a balance of $6,375, which is a 3 percent increase from one year before. The rates for interest for credit card balances has also increased since then, with the national average APR up one percentage point from the rate from 2017 at more than 16 percent.

A credit card balance can also negatively impact credit scores. The utilization rate, or debt-to-credit ratio, is one of the factors that contribute to a credit score. The utilization rate will worsen the more debt individuals have relative to their total available credit. Many credit card holders do not pay their credit cards on time. In fact, according one study, more than 40 percent have paid a credit card bill after the due date.

People who are struggling with credit card debt and who are unable to meet their monthly payments might want to consider filing for Chapter 13 bankruptcy. An attorney can explain the eligibility and other requirements of this form of debt relief.