Steps to a Higher Paydex Score

Dun & Bradstreet

• About D&B: Dun & Bradstreet (D&B) is the oldest business credit reporting agency.
• Why a DUNS Number Matters: A DUNS number is essential to begin building your business credit profile.
• How to Get It Free: Don’t have a DUNS number? Get one for free at Credit Suite or D&B’s site.
• Enter D&B’s Database: Your DUNS number officially registers your business with D&B.

Understanding D&B Business Scores

• More Than a D-U-N-S Number: Simply having a D-U-N-S number isn’t enough to receive a D&B credit score—you also need reported payment history.
• Who Reports to D&B: A payment experience is a transaction reported by a vendor or supplier that shares data with D&B.
• How Many You Need: Typically, three reported payment experiences are sufficient to generate a credit score with Dun & Bradstreet.

D&B Business Credit Reports

• What D&B Provides: Dun & Bradstreet generates credit reports using their extensive database.
• Purpose of Reports: These reports help clients assess whether a business is a reliable credit risk.
• Smart Credit Decisions: Companies rely on these reports to avoid bad debt and make informed lending or partnership choices.
• How Reports Are Made: Many elements are considered when D&B creates a report.
• Dealing with Missing Data: If key data is unavailable, D&B will note it. However, missing data doesn’t always signal poor credit—just an unknown risk.
• Caution with Unknowns: Lenders often view unknown risks cautiously.

How D&B Collects and Improves Data

• Ongoing Data Collection: Dun & Bradstreet constantly collects business data to build accurate credit profiles.
• Focus on Accuracy: D&B works to enhance its analysis methods for maximum reporting accuracy.
• Share Financial Information: To boost the precision of your business report, provide D&B with up-to-date financial statements and remove any incomplete or missing data that could affect your business credit profile.

Key D&B Business Credit Scores

• Popular Score – PAYDEX: The PAYDEX Score is D&B’s most recognized business credit score.
• Additional D&B Scores: Other important scores include the D&B Rating, Delinquency Predictor, Financial Stress Score, and Supplier Evaluation Risk Rating.
• Sample Report: View a sample Business Information Report at: D&B Snapshot Report.

Understanding the PAYDEX Business Credit Score

• What It Measures: The PAYDEX Score is D&B’s dollar-weighted rating that reflects how a business pays its bills over a 12-month period.
• Data Source: This score is calculated using trade payment data submitted by vendors.
• Score Range: It ranges from 1 to 100.
• Why It Matters: A higher PAYDEX Score indicates timely payments and strong credit behavior.
• Score Insight: It reveals a company’s overall payment reliability.

PAYDEX Score Risk Categories Explained

• Simplifying PAYDEX Scores: D&B uses clear risk categories to help interpret your PAYDEX Score.
• Low Risk (80–100): Indicates a strong history of on-time payments.
• Moderate Risk (50–79): Suggests occasional late payments.
• High Risk (0–49): Reflects frequent or severe payment delays.
• Stay Informed: D&B actively monitors changes in your PAYDEX Score and alerts you if your business is nearing a new risk category, helping you take timely action.

How D&B Uses LexisNexis Information

• Details of all homes owned, including sale prices and values
• Home construction materials and HOA information
• Number of bedrooms, bathrooms, AC units, and roof type
• Deeds, mortgage details, and title company information
• Loan types, amounts, interest rates, and terms
• All phone numbers and email addresses ever used
• Professional and personal licenses
• Firearm ownership history
• Traffic violations and tickets
• Criminal records, including felonies and misdemeanors
• Sex offender registration status
• All name variations used
• Marriage and divorce records
• Vehicle ownership history, including VINs
• Boat and aircraft ownership
• Insurance policy history
• Business affiliations and associations
• Family data, including children
• Education, military records, marketing activity, and short-term credit inquiries

Strengthening Your PAYDEX Score

• Respond Immediately: Confront payment or reporting problems as soon as they surface; quick action prevents score erosion.
• Solve Chronic Lateness: If your company routinely misses due dates, revisit internal organization and tighten time-management workflows to correct the pattern.
• Leverage Support Tools: Hiring a bookkeeper or enabling automated phone reminders can streamline bill tracking.
• Pay High-Value Invoices First: Because PAYDEX calculations give heavier weight to larger dollar amounts, clearing substantial obligations first yields faster positive movement.
• Build Reliable Habits: The PAYDEX model highlights trends, so instituting—and consistently following—a practice of paying every creditor on or before its due date steadily boosts credibility and keeps your business credit profile healthy and strengthens reputation.

D&B Business Information Reports Explained

• Financial Snapshot Tool: A Business Information Report is one of the best tools for evaluating your company’s financial status.
• Current Pricing: The report is available for $139.99.
• Who It’s For: You can order a report on your own company or on another business you’re considering working with.
• What’s Included: Along with the PAYDEX Score, the report offers:
  • A summary of trade payments across industries
  • Detailed tradeline data with amounts and terms
  • Legal filings and court actions
  • Key company events related to ownership and management
  • A company hierarchy outlining ownership structure

• Risk Assessment Summary: This section includes:
  • Recommended maximum credit limit
  • PAYDEX Score
  • Delinquency Predictor ranking
  • Financial Stress Score percentile
  • Supplier Evaluation Risk Rating

Track and Improve Your D&B Business Credit Reports

• Business credit reports aren’t always completely accurate.
• Leading credit reporting agencies (CRAs), like Dun & Bradstreet (D&B), work hard to ensure precision.
• Still, mistakes can occur, and you won’t catch them without actively monitoring your credit.
• D&B provides monitoring through a service called CreditMonitor.
• CreditMonitor is currently priced at $39 per month.
• You can learn more or sign up at: dnb.com/products/small-business/credit-monitor.html.
• Keep in mind, individually monitoring all CRAs can quickly get expensive.
• You can Experian offers business credit monitoring via its Business Credit Advantage Plan.
• This service currently costs $189 per year.
• explore this option at: sbcr.experian.com.
• Equifax has its own monitoring program, Equifax Complete.
• It starts at $4.95 for the first 30 days, then $19.95 per month.
• Visit: equifax.com to learn more.
• When added up annually: D&B costs $468, Experian $189, and Equifax $224.40.
• That’s a total of $881.40 per year for all three.
• Credit Suite provides a more cost-effective option through its Business Finance Suite.
• It allows monitoring of all three bureaus in one place at a lower price.
• Visit: creditsuite.com/monitoring to improve your scores and secure better business funding.

Fixing Errors in Your D&B Credit Scores and Reports

• Check Your PAYDEX Score: If your PAYDEX score is lower due to reporting errors, fixing those issues can improve your overall business credit profile.
• Access Your Credit Report: Get a detailed Business Information Report from D&B at: dnb.com/products/small-business/business-information-report-snapshot.html
• Review for Mistakes: Carefully examine the report for incorrect or missing details that may be affecting your credit score.
• Update with D&B: Submit corrections or additional information directly at: dnb.com/duns-number/view-update-company-credit-file.html

How to Dispute D&B Credit Report Errors

• Provide Proof: D&B needs valid documentation before updating any credit scores.
• Submit a Written Dispute: Disputes are usually handled through mailed letters.
• Include Payment Evidence: Add copies of payment records like receipts or canceled checks.
• Avoid Sending Originals: Always keep original documents and only send photocopies.
• Clearly List Disputed Items: Identify and describe each incorrect charge you’re disputing.
• Write Clearly and Precisely: Make your explanation simple and easy to understand.
• Use Certified Mail: This ensures proof that your dispute was sent and received.
• Be Detailed: Explain the issue with specific information for accuracy.
• Contact D&B for Payment Updates: To add payment activity, go through D&B Customer Service.
• Locate Support Information Online: Find contact details at dandb.com/glossary/paydex.
• Stay Organized: Keep a copy of your dispute and mailing receipt for your records.

Quick Overview

• How D&B Collects Business Data: Dun & Bradstreet compiles factual business information to generate Business Information Reports and related documents.
• More Data Means Better Reports: The depth of your D&B report improves with the amount of accurate business information provided.
• Monitor and Fix Report Issues: Stay on top of your D&B report and dispute any inaccuracies to keep your business records clean and reliable.