Credit Research Foundation

APRIL 12, 2024

Risk Mitigation – A seldom noted but important point is that a properly implemented program can reduce your risk of slow payment, fraud, and default within your portfolio. The post Credit Cards – Reducing the Cost of Acceptance – You hold the keys to success appeared first on The Credit Research Foundation.

Credit Card Companies 195

Credit Card Companies B2B Credit Bad Debt DSO 195

Your Virtual Credit Manager

MARCH 4, 2025

We don’t, however, want to minimize the importance of the credit side of the equation. As discussed in a recent post , gathering customer information doesn’t stop with the credit application. You put your firm at risk by limiting credit assessments to only new customers, which is too often the case.

Bad Debt 130

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

Fundera

JUNE 14, 2016

To grow or expand your business, you need to have a source of extra cash… And for many businesses that means filling out a business credit application. The better you can describe your business and your need for a loan, the stronger your business credit application will be. Tell a story.

Credit Application 73

Credit Application Credit Scoring Credit and Collections Small Businesses 73

Your Virtual Credit Manager

DECEMBER 31, 2024

Besides driving O2C process improvement, the experts at Your Virtual Credit Manager can apply default risk probabilities & other financial benchmarks to your AR portfolio to reveal actionable credit & collection insights. For more information on this subject, please click on this link. Need help improving cash flow?

Collector 130

Collector Credit and Collections Bad Debt High-Risk Accounts 130

Your Virtual Credit Manager

OCTOBER 18, 2022

Just click on this link to open an account and start getting the commercial credit Intel you need. ” Require every customer to sign a credit agreement that spells out your terms and conditions, including late charges and collection fees in the event of delinquency or default.

Sales Tax Exemptions 130

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

Your Virtual Credit Manager

DECEMBER 27, 2022

Cash flow is the biggest cause of customers defaults, but often cash flow is a result of other financial problems or miscues. A customer can be paying you with no problems, but then their bank line of credit comes up for review and is drastically cut back by the bank. Click here for more information about credit applications.

Credit Scoring 130

Credit Scoring Credit and Collections Accounts Receivable (AR) Bankruptcy 130

Your Virtual Credit Manager

NOVEMBER 29, 2022

There are two factors that determine the rate of decline: the cost of money for your business and the probability of default by the debtor. Historically, the probability of default for a pool of receivables tends to increase as the receivables age. Your credit application should include all this information.

Credit and Collections 130

Credit and Collections Accounts Receivable (AR) Default Collector 130

Emagia

MARCH 15, 2024

While optimized credit risk management and accounts receivable processes can positively impact critical KPIs such as revenue leakage, default and delinquency rates, dysfunctional customer relationships, and excessive overheads, inefficient processes can have unfavorable effects on these metrics.

Credit Risk 52

Credit Risk Default Credit Management Credit and Collections 52

Emagia

MARCH 15, 2024

While optimized credit risk management and accounts receivable processes can positively impact critical KPIs such as revenue leakage, default and delinquency rates, dysfunctional customer relationships, and excessive overheads, inefficient processes can have unfavorable effects on these metrics.

Credit Risk 52

Credit Risk Default Credit Management Credit and Collections 52

CreditStrong for Business

DECEMBER 12, 2024

If you miss a payment or make late payments, it can negatively affect your cosigners credit. Defaulting on the loan makes your cosigner responsible for the remainder of the car payments. Not keeping up with the monthly payments can mean credit problems for both you and your cosigner.

Credit Unions 52

Credit Unions Credit Scoring Default Credit Application 52

Your Virtual Credit Manager

DECEMBER 6, 2022

Without effective AR management, your cash flow is subject to entropy as the AR ages, as well as to the shocks caused by customer defaults. The solution is the implementation of credit and collection best practices geared to ensure customer profitability and sufficient cash flow. it just might help them pay you sooner!

DSO 130

DSO Credit and Collections Bad Debt AR Aging 130

Your Virtual Credit Manager

FEBRUARY 13, 2024

Share Read on to learn six actions you can begin doing today to reduce the exposure of your AR portfolio to customers that are at risk of delinquency and default, and an additional three longer term initiatives you can implement that provide the added benefit of boosting future AR performance. it just might help them pay you sooner!

Bankruptcy 130

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

Your Virtual Credit Manager

JULY 23, 2024

This is especially true in the case of small business customers, who will do everything they can to keep paying their suppliers and vendors, including tapping out their personal credit, until the bottom falls out. Irregular payments are a clear warning sign that default may be around the corner.

Credit and Collections 130

Credit and Collections Accounts Receivable (AR) Shared Service Center Small Businesses 130

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. When unobserved risks build up in your AR, the impact will be slower payments and defaults leading to bad debts.

Credit and Collections 130

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

Your Virtual Credit Manager

SEPTEMBER 17, 2024

To continue reading and learn nine areas of focus for supercharging your collection process, you must be a paid subscriber to Your Virtual Credit Manager. Do you need help assessing your customers’ credit risks? Implement Workflow Solutions: Software as a Service (SaaS) solutions are an economical way to enhance productivity.

Credit and Collections 100

Credit and Collections Accounts Receivable (AR) Bad Debt Credit Risk 100

CreditStrong for Business

DECEMBER 20, 2024

Credit cards have an average interest rate of 20.35%. The second most popular revolving credit line is the home equity line of credit (HELOC). If you default, your lender could foreclose on your property. HELOCs use the equity you own in real estate as collateral.

Credit Scoring 52

Credit Scoring Credit Application Default 52

Your Virtual Credit Manager

MARCH 19, 2024

To do this you may want to order an updated credit report as well as recontact any suppliers they provided as a credit reference on their credit application. Have the customer complete an updated credit application and request updated financial information so you can assess their current financial status.

Bulk Transfer 100

Bulk Transfer Credit and Collections Bankruptcy Third Party Collections 100

Your Virtual Credit Manager

JUNE 18, 2024

That’s why it is standard to ask on a credit applications the year in which the business was formed. Years in business is a critical factor in the assessment of credit risk along with number of employees, which can be a good proxy for sales volume, something private businesses are not always willing to disclose.

Bad Debt 100

Bad Debt Credit and Collections Credit Risk Credit Card Companies 100

Emagia

MARCH 3, 2025

Collections Management Effective collections management involves tracking overdue invoices and implementing escalation strategies for persistent defaulters. Step 2: Evaluating Customer Creditworthiness Conduct background checks and analyze financial statements before approving credit applications.

Days Sales Outstanding 40

Days Sales Outstanding DSO AR Reporting Credit and Collections 40

The Red Spectrum

MAY 18, 2023

Impact on Credit Scores Credit card payment history is one of the significant factors influencing credit scores. On-time payments reflect positively on your credit reports and can help improve your credit score over time.

Credit Card Payments 91

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

MNS Credit Management Group

MAY 20, 2022

The Credit Opinion Report Rating and the Probability of Insolvency of MNS Credit Management Group are assessment elements that estimate the company’s capacity to repay its credit in the future. Payment defaults and delivery issues can be disastrous for your company. What Does Custom Credit Opinion Mean?

Credit Scoring 52

Credit Scoring Credit Application Default Credit Management 52

The Red Spectrum

MAY 30, 2023

In order to safeguard your company’s interests and lower the likelihood of defaults or late payments, it is imperative for business owners to keep a close check on their client’s financial situation. Establish a clear credit application procedure that details the data you need from clients before issuing credit.

Default 64

Default Credit Risk Credit Scoring Credit Application 64

Eastern Credit Management Services

NOVEMBER 13, 2019

You can do this quite effectively by having a detailed credit application, I’m so much of a proponent of this that I wrote a whole blog dedicated to creating one. A detailed credit application does two things, it informs your customer of the terms and conditions of the credit you extend.

Bad Debt 52

Bad Debt Small Businesses Credit Reporting Agencies Credit Application 52

CreditStrong for Business

OCTOBER 24, 2024

CPN vendors often also encourage you to change other personal details on your application, such as your telephone number and mailing address, to prevent creditors from connecting your new identity with your original one. You’d have a second chance to build a credit profile from scratch. Are They Legal?

Credit Scoring 52

Credit Scoring Credit Reporting Agencies Default Actual Loss 52

CreditStrong for Business

OCTOBER 18, 2024

The PayNet MasterScore predicts the likelihood that a business will default (i.e., become 90 days delinquent or worse on a credit obligation). And just like with a consumer credit score, a higher PayNet Score indicates that there is less risk of a default happening.

Credit Scoring 52

Credit Scoring Credit Reporting Agencies Default Credit Risk 52

tillful

FEBRUARY 28, 2023

small business credit applicants. Experian includes the following information on its credit profiles: Open accounts: The personal credit accounts an individual has open and active under their name along with the account balances, payment history, and credit utilization (if applicable) for each account.

Credit Scoring 98

Credit Scoring Credit and Collections Small Businesses Bankruptcy 98

Emagia

JUNE 12, 2023

It involves identifying, assessing, and mitigating the potential risks associated with extending credit to customers or counterparties. Effective credit risk management enables organizations to make informed decisions, protect their assets, maintain healthy cash flows, and safeguard against default and financial losses.

Credit Risk 52

Credit Risk Credit and Collections Bad Debt Default 52

TreviPay

AUGUST 8, 2023

Understanding the principles and decision strategies involved is useful knowledge for both credit applicants and credit providers. What is credit decisioning? Credit decisioning is the process of evaluating a potential borrower’s creditworthiness. But the rewards are high, too.

Credit and Collections 52

Credit and Collections Credit Risk Credit Card Companies Credit Application 52

Fundera

MAY 25, 2017

Although you are more likely to get a credit application evaluated on the basis of a FICO score than a VantageScore, VantageScore is gaining prominence. According to the company’s website , “8 billion VantageScore credit scores were used in a 12-month period in 2015–2016—an increase of nearly 40% over 2014–2015.” .

Credit Scoring 74

Credit Scoring Credit and Collections Collector Credit Application 74

TreviPay

MARCH 17, 2023

Being able to offer line of instant credit to its business customers while leaving responsibility for risk assessment and underwriting to TreviPay means this retailer is always paid on time, even if their business customers default on a payment.

B2B Credit 52

B2B Credit Bad Debt Credit Application Default 52

TreviPay

MARCH 17, 2023

Being able to offer line of instant credit to its business customers while leaving responsibility for risk assessment and underwriting to TreviPay means this retailer is always paid on time, even if their business customers default on a payment.

B2B Credit 52

B2B Credit Bad Debt Credit Application Default 52

CreditStrong for Business

SEPTEMBER 6, 2024

Some steps that would benefit you will eventually cost you points upfront, weakening your credit applications for a few months. Here are some tactics to consider: Provide collateral: Creditors are reluctant to lend to businesses with bad credit because they’re worried you’ll default on the account and cost them money.

Credit Scoring 52

Credit Scoring Default Small Businesses Credit Unions 52

Due

DECEMBER 2, 2023

It would also include the number of times you’ve applied for credit or your “hard inquiries,” your repayment history and record of derogatory marks for late payments and defaults, and the types of credit in your report. Credit scores fluctuate throughout one’s life and depend on account activity.

Credit Scoring 59

Credit Scoring Credit and Collections Chapter 7 Bankruptcy 59

TreviPay

MARCH 17, 2023

The company can offer a line of instant credit to its business customers while leaving responsibility for risk assessment and underwriting to TreviPay. That means Staples is always paid on time, even if their business customers default on a payment.

Bad Debt 52

Bad Debt Credit Application Default Credit Management 52

Fundera

JULY 6, 2016

Don’t default. This might seem obvious, but defaulting on your loan will seriously impact your credit score. Sometimes there’s no other option—and that’s probably why you’re in this position in the first place—but consider alternatives, like borrowing from friends or family, if you’re trying to raise your credit score.

Credit Scoring 74

Credit Scoring Credit and Collections Bankruptcy Small Businesses 74

CreditStrong for Business

OCTOBER 4, 2024

The company may also review your business credit score, if you have one, to see what types of accounts you might be eligible to open. Step Two: The broker submits multiple credit applications on your behalf for credit cards and sometimes business lines of credit based on your credit profile.

Credit Scoring 52

Credit Scoring Credit Unions Credit Card Companies Small Businesses 52

CreditStrong for Business

SEPTEMBER 4, 2024

Then you’ll likely be in the catch-22 of having no credit and needing to have credit to build credit. This is often referred to as having an insufficient credit history. The initial sting of getting your credit application denied doesn’t feel great, but there are ways to overcome it.

Credit Scoring 52

Credit Scoring Credit Reporting Agencies Credit Application Credit Card Companies 52