What are Paydex and Business Credit Scores?
Paydex® is a dollar weighted numerical system that was developed by Dun and Bradstreet to track the performance of companies to pay their bills. A higher Paydex® score means that a business or company pays its bills almost always on time and is an indicator of how well they may be counted on to pay their bills in the future. A lower Paydex® score will usually mean that the business has had some trouble paying its bills on time at some time during the last year. Dun and Bradstreet have also developed a Paydex® score key to interpret these scores that they prepare and they range the scores on a scale from unavailable to companies that pre-pay their invoices. Within the range it is also possible to identify companies that are paying their bills a little beyond the normal due date of 30 days to those are almost three months behind in unpaid invoices. Suppliers use the Paydex® system to determine how much product they should advance to companies and businesses and in some cases even if they
