Stem of seedling being eaten/rotting?

Hey,

So this is my first grow and I'm noticing that the stem of my seedling has small indents in it with a yellow tinge around them. these indents/notches are about 2mm apart and seem to occur at the point where the stem meets the soil. I have a (poor) picture roughly showing these indents, should i be worried? there are small grey bugs in the soil, very very small that look like baby woodlice. from what i have read on other forums they eat decaying organic material not roots, stems or any part of plants. I've had them before in an unsuccessful grow from a mutant seed and they seemed to do no harm what what i could see. there were no notches in the stem at least.

So yea, anything i should worry about?
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cheers
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soil seems too wet, this will cause damping off.

any and all "bugs" are bad.. buy some bug free potting soil

BTW i know not all bugs are bad but as a general rule of thumb they are all bad

Hmm images seem to be unavailable now for some reason, thanks for the advice, will let it dry a bit and water less often.