A method of correcting a false-color pixel in a digital image is used to correct a false-color pixel generated after being processed by a color correction matrix (CCM). The method includes the following steps. Obtaining a raw image, for being processed by the CCM operation to generate a processed image; comparing pixels of the raw image with that of the processed image according to a color difference ratio, to find out a false-color pixel in the pixels of the processed image; then, performing a color correction on the false-color pixel at the corresponding position of the raw image and the processed image. The false-color pixel is corrected according to the pixel color at the corresponding position of the raw image.