December 21, 2018
The Dun and Bradstreet Paydex Business Credit Score
Share This Post
The main credit score used in the business world is known as a Paydex score provided by Dun and Bradstreet.
This number assess a business’s lending risk much the same as a consumer credit score reflects a consumer’s individual credit risk.
Paydex is essentially the business equivalent of your personal credit score.
The exact definition from Dunn &
There are many BIG differences from a business Paydex credit score and an individual FICO consumer credit score.
Consumer FICO credit scores range from 350–850. The Paydex Score ranges from 0–100 with 100 being the highest score you can obtain.
Individual credit scores are calculated based on a number of factors.
The Paydex score is calculated based on only one single factor; whether a business
makes prompt payments to its suppliers and creditors within the agreed upon terms
Most lenders and suppliers are looking for a score of 70 and higher. Having a score
of 80 and above is very good.
Here is a breakdown of how the Paydex credit score is calculated:
Expect payment may come early?—?100
Payments generally come within early payment discount period?—?90
Payment is prompt?—?80
Payment comes 14 days beyond terms?—?70
Payment comes 21 days beyond terms?—?60
Payment comes 30 days beyond terms?—?50
Payment comes 60 days beyond terms?—?40
Payment comes 90 days beyond terms?—?30
Payment comes 120 days beyond terms?—?20
If you own a business, your Paydex score is essential in establishing new credit and continuing to build credit limits exceeding $100,000.
It only takes 60 days to establish a positive Paydex credit score. To start you will first want to apply for a DUNS Number, a
Once your DUNS number is established you will next want to find a merchant who will extend you credit and then report that credit to Dun and Bradstreet.
Once you have
You will want to then apply for more business credit and use it regularly. Make sure you pay all payments back early to raise your scores to 80 or higher.
You can easily and quickly establish a positive Paydex credit score.
As you continue to pay your bills timely your scores will continue to raise giving you the ability to qualify for credit in your business name.
Share This Post