Fundera

DECEMBER 28, 2016

For consumers and small business owners alike, credit bureaus, credit reports, and credit scores can feel like one big, confusing puzzle. What exactly goes into that all-important, 3-digit number known as your credit score? That’s why we’re diving deep into credit inquiries. A Credit Report Explained.

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Credit Scoring Credit and Collections Small Businesses Default 80

Your Virtual Credit Manager

JANUARY 23, 2024

Approving a customer for credit terms is merely the first step in an open credit relationship. Economic circumstances may cause you to tighten your credit policies and customer credit limits. Situations change, both for you and for your customer. Even more likely are changes to a customer’s business.

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Credit Application Bad Debt Bankruptcy Credit Scoring 130

Fundera

DECEMBER 13, 2018

What Is a Perfect Credit Score? When it comes to personal credit scores, the absolute perfect credit score is 850. Though it may seem impossible, it’s actually totally doable if you’re responsible with your debt and check (and recheck) your credit score often.

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Credit Scoring Bankruptcy Credit and Collections Default 75

Your Virtual Credit Manager

JUNE 25, 2024

Rising Days Sales Outstanding DSO measures the average number of days it takes to collect payment after a sale. A rising DSO indicates that your collections are not matching the rate of new sales, and if that goes on for any length of time, your cash flow will not be able to support the volume of your current business operations.

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Bad Debt Credit and Collections Days Sales Outstanding DSO 130

Fundera

JULY 28, 2016

But when those three digits represent your personal credit score , they can indeed have a dramatic impact on your future choices. To a large extent, the answer depends on those three digits of your credit score, so you should probably know your credit score meaning. Credit Score Meaning: What is FICO?

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Credit Scoring Credit Reporting Agencies Credit and Collections Default 75

Your Virtual Credit Manager

MARCH 19, 2024

If all your customers paid promptly — by the time the invoice was due — you would not need to do any collection work. Collections is a reactive process. The amount of collection activity with which you are tasked is directly proportional to your customers’ payment habits.

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Bulk Transfer Credit and Collections Bankruptcy Third Party Collections 100

Fundera

JUNE 15, 2018

Even before you began your search for small business loans , you’ve more than likely heard of a credit score. You’ve also more than likely heard of a good credit score, too. Here’s the gist of it: Your credit score is a numerical indication of how responsibly you’ve handled your financial obligations.

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Credit Scoring Credit and Collections Default Credit Risk 71

Fundera

SEPTEMBER 16, 2017

But when those three digits represent your personal credit score , they can indeed have a dramatic impact on your future choices. To a large extent, the answer depends on those three digits of your credit score, so you should probably know your credit score meaning. Credit Score Meaning: What is FICO?

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Credit Scoring Credit Reporting Agencies Credit and Collections Default 73

Fundera

JULY 6, 2016

That’s right: your personal ( not business) credit score matters more than anything else. In this credit score guide, we’ll take a look at why your credit score matters, how it affects your business financing, and what improving your credit can do. What’s a Credit Score? Quick Reminder.

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Credit Scoring Credit and Collections Bankruptcy Small Businesses 74

Fundera

JANUARY 25, 2019

But when those three digits represent your personal credit score , they can indeed have a dramatic impact on your future choices. To a large extent, the answer depends on those three digits of your credit score, so you should probably know what credit scores mean. Credit Score Meaning: What Is FICO?

Credit Scoring 73

Credit Scoring Credit Reporting Agencies Credit and Collections Default 73

Fundera

AUGUST 11, 2016

What happens when you default on a loan? What Happens When You Default on a Loan? As soon as your loan is considered in default, the lender will contact you. Your account might be sent to a collections agency and you might start getting a lot of collection calls. What Happens When You Default on a Loan?:

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Default Credit Reporting Agencies Credit and Collections Credit Scoring 75

Fundera

DECEMBER 12, 2018

Credit scores have become a huge part of our lives. There’s no question a good credit score is crucial for so many varying parts of our lives, but the questions stands—what is a good credit score? What is the score you need to get the best credit card, mortgage, business loan , auto loan, etc.,

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Credit Scoring Credit and Collections Default Credit Risk 71

CreditStrong for Business

JULY 11, 2024

Equifax’s three primary business credit scores are their Credit Risk Score, Payment Index Score, and Business Failure Score. You can typically call your scores in each of these models good if they’re above 556 , 90 , and 1,315 , respectively. The lower the score, the higher the risk.

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Credit Scoring Credit Risk Credit and Collections Credit Reporting Agencies 52

Abrigo

SEPTEMBER 15, 2022

Researchers find construction loans with more on-site inspections are less likely to default, suggesting that loan monitoring adds value to lenders. More construction loan monitoring ultimately decreases loan default, according to a new FDIC Center for Financial Research working paper. On-site inspections. percentage points. “As

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Default Credit Risk Credit and Collections Credit Scoring 78

CreditStrong for Business

MARCH 24, 2023

Conventional mortgage loans typically require higher credit scores than government-backed loans, but there are also many advantages to going with conventional mortgages. What is the Required Minimum Credit Score for a Conventional Loan? How Can Credit Scores Affect Mortgage Interest Rates?

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Credit Scoring Credit and Collections Credit Unions Default 59

tillful

JUNE 14, 2023

Looking to learn the ins and outs of Experian business credit scores ? as a consumer credit reporting company, but it also collects information on millions of businesses and provides business credit reporting services. You can download the Tillful iOS app to check if your company has a credit profile with Experian.

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Credit Scoring Credit and Collections Bankruptcy Credit Reporting Agencies 52

The Red Spectrum

MAY 18, 2023

When it comes to managing your finances and building a healthy credit history, understanding how credit card payments affect your credit reports is essential. What Are Credit Bureaus? Before diving into the details, let’s first understand what credit bureaus are.

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Credit Card Payments Credit Scoring Credit Reporting Agencies Credit and Collections 91

CreditStrong for Business

JULY 19, 2024

Some lenders do give you the option to transfer your car loan to someone else, but it’s important to understand how it will impact your credit. Does Transferring a Car Loan Affect Credit Score? In general, transferring a car loan will affect your credit score.

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Credit Scoring Credit and Collections Bad Debt Credit Card Payments 52

Your Virtual Credit Manager

AUGUST 27, 2024

Imagine a world where extending trade credit was completely risk-free, and granting open terms of sale to business customers required no second thought. In such an ideal scenario, every customer would have both the ability and the integrity to pay their bills in full and on time, eliminating any need for a credit management.

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Accounts Receivable (AR) Default Credit and Collections Cybersecurity 100

tillful

MAY 12, 2023

A poor business credit score or thin credit history can get in the way when applying for small business loans. This is especially true in higher interest rate environments, when lenders pull back on credit (like now). Pro Tip: On the flip side, you may have very strong cash flow , but poor credit.

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Credit Scoring Credit and Collections Small Businesses Default 98

CreditStrong for Business

JULY 19, 2024

A new car loan will likely result in a small, temporary drop in your credit score stemming from lender credit inquiries, having a recently opened new credit account, and the resulting greater overall debt load. Among the various factors used to calculate your credit score, payment history has the largest influence.

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Credit Scoring Credit and Collections Credit Unions Credit Application 52

Know-It Global

JUNE 20, 2023

Credit control is a vital aspect of financial management for businesses. It involves managing credit sales and making informed credit decisions, ensuring timely payment from customers, and minimising bad debt. Setting Up Credit Control Processes 1.1 This is where business credit checking comes into play.

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Bad Debt Credit and Collections Debt Collections Credit Risk 19

Your Virtual Credit Manager

OCTOBER 18, 2022

Photo by Scott Graham on Unsplash We’re not saying you shouldn’t bother with credit evaluations — just that you shouldn’t waste time with a one size fits all process when most decisions are easily made. We discuss the key components of financial analysis in How Do You Determine if a Customer is Worthy of Credit?

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Sales Tax Exemptions Credit and Collections Online Credit Application Credit Application 130

Fundera

MARCH 28, 2018

You probably know how important your credit score is when you’re applying for a small business loan. But with all of the surprising ways you can damage your credit, that number might come as a surprise when it pops up on your application. What Your Credit Score Is, and Why It Matters: A Quick Rundown.

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Small Businesses Credit Scoring Default Credit and Collections 88

Fundera

SEPTEMBER 29, 2017

When you become a business owner, you quickly realize that it isn’t just about your personal credit score anymore. Yes, your personal credit score still plays a (surprisingly) important role in your business’s life, but now you have another financial indicator to pay attention to: your business credit score.

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Credit Reporting Agencies Credit Scoring Credit and Collections Bankruptcy 76

Your Virtual Credit Manager

OCTOBER 17, 2023

Extending credit is the financial backbone of Business-to-Business (B2B) commerce. Not being paid on time reduces profits commensurate with your cost of capital and cost of collections — the longer the time it takes to be paid, the higher those costs. Learn More About YVCM Consulting Effective Credit Control – What Is It?

Bad Debt 130

Bad Debt Credit and Collections Credit Risk Accounts Receivable (AR) 130

Emagia

MARCH 15, 2024

Managing credit risk for B2B customers is critical for seamless order to cash (OTC) and working capital cycles. Businesses that follow traditional reactive strategies in OTC processes may find it difficult to collect at-risk future invoices, likely leading to large invoices going delinquent.

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Credit Risk Default Credit Management Credit and Collections 52

Emagia

MARCH 15, 2024

Managing credit risk for B2B customers is critical for seamless order to cash (OTC) and working capital cycles. Businesses that follow traditional reactive strategies in OTC processes may find it difficult to collect at-risk future invoices, likely leading to large invoices going delinquent.

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Credit Risk Default Credit Management Credit and Collections 52

Fundera

JULY 22, 2018

Default vs. Delinquency. Loan defaults and delinquencies both stem from overdue loan payments. If you miss several payments or can’t make payments for an extended time (usually 90 to 120 days), the lender will place the loan in default and can start collection proceedings against you. What’s a Delinquent Loan?

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Default Collector Credit and Collections Credit Scoring 59

Fundera

MARCH 3, 2019

If you miss several payments or can’t make payments for an extended time (usually 90 to 120 days), the lender will place the loan in default and can start collection proceedings against you. Both delinquencies and defaults damage your credit. Your Credit Score Will Take a Hit. What’s a Delinquent Loan?

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Default Collector Credit and Collections Credit Scoring 59

CreditStrong for Business

JULY 5, 2022

Payment history is the most important factor in calculating your FICO® credit score. Your payment history accounts for over a third of your overall FICO credit score, comprising 35% of the impact of all FICO credit score factors. Read more about the factors that impact your credit score.

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Credit Scoring Credit Card Payments Credit and Collections Deductions 52

Fundera

AUGUST 3, 2016

Too many borrowers can’t answer the most basic question: “How does credit work?”. Every time someone applies for a rental property, makes a major purchase, opens a cell phone plan, or turns on utilities like water and electricity for your home, we’re all reminded over and over again that our personal credit is important.

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Credit Scoring Credit and Collections Default Credit Reporting Agencies 73

tillful

FEBRUARY 28, 2023

Have you heard about the FICO Small Business Scoring Service (SBSS)? Like most business credit scores, the SBSS helps lenders and service providers understand the level of credit risk that businesses present. Here’s a closer look at FICO SBSS scores, why they matter, and how you can improve yours.

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Credit Scoring Credit and Collections Small Businesses Bankruptcy 98

Your Virtual Credit Manager

SEPTEMBER 12, 2023

Processing Delays There are several AR activities that often take longer than they should and therefore cause delays: processing credit applications, approving orders, generating invoices, and posting payments. Credit evaluations, however, often take time. In small companies, this may occur due to a lack of credit analysis skills.

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Credit and Collections Bad Debt Accounts Receivable (AR) Deductions 130

Emagia

MARCH 3, 2025

The Accounts Receivable (AR) Process Cycle is a fundamental component of a company’s financial operations, encompassing the series of actions taken to manage and collect payments owed by customers for goods or services provided on credit. A structured dispute resolution process minimizes delays in payment collection.

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Days Sales Outstanding DSO AR Reporting Credit and Collections 40

Fundera

MAY 25, 2017

New business owners especially often have to rely on their personal access to credit in order to finance the beginning stages of their business operations. Fortunately, some changes coming down the pipeline could positively affect millions of Americans’ credit scores. How the NCAP Standards Will Affect Your Credit Score.

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Credit Scoring Credit and Collections Collector Credit Application 74

Fundera

JUNE 14, 2016

As a small business owner, chances are you’ve needed to borrow money at one point or another—whether that’s through a term loan , a line of credit , or a specialized product like equipment financing. The better you can describe your business and your need for a loan, the stronger your business credit application will be. Tell a story.

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Credit Application Credit Scoring Credit and Collections Small Businesses 73