It definitely does that, and it's the reason creatine is cheap and common. But there's a long-standing question about whether creatine supplements are also psychoactive - the best data seems to suggest "yes if you're deficient, but if you're not then supplementing primarily affects your body".
When I took it regularly, I'd retain a bit more water and muscles felt fuller. Doing high weight / low rep training, it definitely felt like it helped me to squeeze out another rep at the end. And that is supposed to be the key benefit, allowing you to train a little harder.