How Many Tradelines Do You Need to Get a PAYDEX Score?

by

Establishing a PAYDEX Score

To establish a PAYDEX score, you need a Dun & Bradstreet number, or DUNS number. You also need at least three trade experiences from two different trade references reported to D&B.

The PAYDEX score ranges from 1 to 100. A score of 80 means you pay bills exactly on time. Above 80 means you pay early. Below 75 may mean high risk of late payments. Below 40 is poor. PAYDEX scores show lenders your ability to repay debts on time.

5 Steps to Getting and Growing Your PAYDEX Score

  1. Register your business to build credibility.
  2. Apply for your DUNS number from Dun & Bradstreet.
  3. Open accounts with vendors and suppliers that report to D&B.
  4. Pay all bills early or on time.
  5. Check your score regularly and continue good payment practices.

Scores above 80 indicate you pay bills ahead of due dates. To improve your score, pay invoices early. Lenders view scores above 75 as low risk.

Leave a Comment