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Published By Nikeya Williams at September 10th, 2017
It is vital to effectively monitor your business credit report.
(Last Updated on September 28, 2020)
It is vital that as a business owner that you keep a close eye on all of the content that shows up your business report. The reason for monitoring your business credit report is that your business credit report matters! It directly impacts the financial and funding ability of your company. It does more than affect a small part of your business. But it will affect the financing costs, credit terms, interest rates, insurance premiums, and credit limits. Plus, it will affect so much more in your business.
Keeping up to date and monitoring your business credit report is helpful. It makes it easier to see all of the factors that are affecting your report and scores. Every day, information on your business credit scores will change. There are constant changes to transactions and outstanding balances. And it shows if you pay invoices on time. With all these changes, you want to be able to know what is currently on your business credit report.
It is good to have access to your business credit profile. Because this is where you can see all the ongoing transitions on your company’s credit file.
For example, what would happen if you recently paid off an outstanding invoice. Here, it would be a better idea to wait. At least, until you see if your business credit report reflects the payment on the invoice. In order to maintain and stay updated on your business credit report, there is one thing you have to do. That is, you will need to subscribe to business credit monitoring service. That will help you monitor all the activity on your business credit report.
So keep in mind that it can take a good 30 days for a specific transaction to show up on your business credit reports. At least! As you have undoubtedly heard before: patience is a virtue.
Having a credit monitoring service to protect your company’s credit information, is something that most business owners need. There is growing number of businesses that face business identity theft. According to Dun & Bradstreet, there is a disturbing trend of business losing up to six figures due to criminal activity.
Constantly monitoring your business credit report gives you the ability to see if there are any criminal activity happening. This can affect your scores, filings, and newly opened accounts associated with your company.
Once your business credit report is up to date, business credit agencies final decisions will impact:
The three major credit bureaus that you want to use to monitor your business credit is Dun & Bradstreet, Experian Business and Equifax Small Business.
D&B monitors changes in your credit scores and ratings. To help make sure that you are up to date with business credit information, D&B anticipates all possible reactions from current partners and lenders. And they track how many times your business credit report is being used.
You can get alerts when your company’s credit scores and ratings change. Get alerts when others have made purchases on your business credit file. So this allows you to have valuable insight to help protect your business.
Experian will monitor and send alerts when changes in your business credit file have changed. And they will help you keep track of your business credit score. You will also be able to screen other businesses to get background information. So this is including liens, judgments, and bankruptcies. That way, as a business owner you can avoid making a bad decision.
You should not try to work with companies that do not use good financial judgment. In this way, you will know before you lose investments of time or money. Or both. With these reports, you can save your most precious assets.
Also, you can get online and access your business report instantly through Experian.
Equifax monitors the credit activity of all of your business customers, partners and suppliers. You can choose to set up the Business Credit monitor alert. So this is where you can get alerts for any bankruptcy events reported.
And you can get derogatory alerts including judgments, liens, delinquencies, and charge-offs. Get these as well as delinquent amounts greater than or equal to 60 days past due. You can also get an alert when your Equifax score drops 20 points or more.
At Equifax, you can monitor your account at: www.equifax.com/business/business-credit-monitor-small-business.
Did you know that Credit Suite offers business credit monitoring? It is true! And it is all a part of our Business Finance Suite.
You will be able to know what is happening with your credit. Make sure it is being reported and take care of any errors as soon as possible. It is vital to get in the practice of checking credit reports. You should dig into the particulars, not just the scores.
We can help you monitor business credit at Experian and D&B for a lot less than it would cost you at the CRAs. See: www.creditsuite.com/monitoring.
And beyond that, with our Business Finance Suite, you will have access to our advisors. They can help you every step of the way. With the Credit Suite Business Finance Suite, even a sole proprietor is never truly alone.
Always update the details if there are mistakes or the details is incomplete. Never, ever assume that errors are going to be corrected without intervention. And for you, it is always in your own best interests to complete what you can. It pays to make sure that the data on your business credit reports is as complete as possible.
At D&B, you can do this at: https://iupdate.dnb.com/iUpdate/viewiUpdateHome.htm. For Experian, go here: www.experian.com/small-business/business-credit-information.jsp. So, for Equifax, go here: www.equifax.com/business/small-business.
So, what is all this monitoring for? It is to challenge any mistakes in your records. Mistakes in your credit report(s) can be fixed. But the CRAs usually want you to dispute in a particular way.
Get your small business’s PAYDEX report at: www.dnb.com/about-us/our-data.html. Get your company’s Experian report at: www.businesscreditfacts.com/pdp.aspx?pg=SearchForm. And get your Equifax business credit report at: www.equifax.com/business/credit-information.
Disputing credit report errors generally means you mail a paper letter with copies of any proof of payment with it. These are documents like receipts and cancelled checks. Never send the original copies. Always send copies and retain the originals.
Fixing credit report mistakes also means you precisely detail any charges you challenge. Always, make your dispute letter as understandable as possible. Be specific about the concerns with your report. Use certified mail to have proof that you mailed in your dispute.
Dispute your or your small business’s Equifax report by following the instructions here: www.equifax.com/small-business-faqs/#Dispute-FAQs.
You can dispute errors on your or your business’s Experian report by following the instructions here: www.experian.com/small-business/business-credit-information.jsp.
And D&B wants you to dispute via calling them. So their PAYDEX Customer Service contact number is here: www.dandb.com/glossary/paydex.
Business trade references are about the only truly subjective part of any given business credit report. Dun & Bradstreet offers extensive instructions on how to add trade references to your report. Trade references are somewhat unique.
They are just about the only items on a business credit report where you have a good measure of control. Because, after all, if your payment experiences with a particular vendor are not so hot, not to worry. Because there is one great thing you can do.
Simply do not ask them for a trade reference. There is nothing unethical or illegal about just asking for a trade reference from a vendor where you know you will get a favorable report.
Monitoring your business credit report can seem hard and time-consuming. But there are so many new tools that Experian, Equifax and Dun & Bradstreet provide you with. As a result, it is easy for you to receive updates, alerts and information when there is a change to your business report.
Business credit monitoring has never been easier, faster, or more accurate than ever before. Every year, the business credit reporting bureaus work to improve their reports. So you can expect that reports will get better and better.
It is important that you stay updated with all the information reported on your business credit report. Everything that is reported on your business credit report can impact your business. And this can be in a positive or a negative way. If you have not yet signed up for alerts, then be sure to do so!