How to Combat Slow Payments
Do you have slow or late payments reported on your Dun & Bradstreet business credit file? These types of negative payment experiences can impact your business credit scores and ratings, which can affect your ability to get contracts, loans, investors, and more. We’ve created the infographic below to help business owners understand the importance of making timely payments to suppliers and other partners.
How does the slow-pay reporting process work?
Your business credit file may show late or slow payments on behalf of your company if the businesses you work with have reported such payment behaviors to Dun & Bradstreet.
Slow and late payments can affect your business credit scores and ratings. Lenders, suppliers, and vendors may view your Dun & Bradstreet scores and ratings when making decisions about whether or not to work with you, offer you a loan, or provide favorable terms and conditions.
If your payment history has negatively impacted your file, it might reflect poorly on your company.
Who is reporting this payment information?
Companies reporting to Dun & Bradstreet remain anonymous. Auto-reporters will report all of their receivables regardless of whether it is a negative or positive payment experience, and manual trade references provide the current payment habit of the company. But if you think your payment habit is listed incorrectly, you can dispute it using Company Update.
How does Dun & Bradstreet resolve disputes about slow payments?
When the subject company disagrees with the payment experience provided by a trade exchange participant, they can challenge the data.
This challenge process involves Dun & Bradstreet reaching out to the reporting vendor, asking them to reconfirm the payment data provided and give authorization to release their name to the subject company.
How do slow payments affect my business credit file?
Slow payments can affect business credit scores and ratings such as the PAYDEX® score. Continual slow or late payments could indicate to vendors, suppliers, or lenders that your company may not pay them on time or at all.
With CreditBuilder™ from Dun & Bradstreet, you can add trade references to your business credit file to help impact your scores and ratings. Adding positive payment experiences can help balance out your slow or late payments.
How do I avoid being paid late and therefore paying my vendors late?
Combat Slow or Late Payments With a Concierge Manager
A Dun & Bradstreet Concierge Manager manages your business credit profile for you. They are the experts when it comes to building and impacting the scores and ratings in your file and can dispute late payments while helping you add positive payment experiences. Get started today.
Photo Credit: natulkamimi, Twenty20