Sorry man, this is also false. Carrying a balance and making minimum payments on-time can and does improve your credit standing, especially if you are trying to come back from a bad credit issue.
It's much more complicated than I will ever spell out here, but, in a nutshell...
Each of the credit bureaus can calculate a bureau score for customer X and send that score to "the credit card company". In addition to the actual score, the bureau sends a ton of data about you to the company. The company then has the option to use the bureau-supplied score, or use all of the data to calculate their own 'custom' in-house score.
Often, it uses the better of the 2 scores and/or may offer you different levels of card depending on the different scores. Your score that you find on the gimmicky credit score sites may have nothing to do with your actual ability to get credit.
Anyways, I have a driveway to see and a wife to plow...