Why An 80 Paydex Is Not Enough

Updated: Feb 3

A new subscriber contacted me after seeing one of my Twitter posts offering a free consultation. Don owns a small construction company. He was frustrated because he had already spent over $2500 for a service with another credit enhancement company and still can't get approved for any substantial credit. He sent me a copy of his D&B report and asked if I could take a look at it.

Don's frustration comes from being told that all he needed was that magical 80 Paydex score and he would be on his way to higher credit approvals. Unfortunately, the news I had for him wasn't good. In fact, the company he has been working with has a history of specializing in getting businesses (yes) a Paydex score... but usually only a Paydex score, before his progress (and their support) drops off.

And that's because its easy to meet the lowest possible requirements for getting a Paydex score. All you need is three payments in the D&B file. Anybody can do that. But there are actually five OTHER credit scores in the D&B arsenal, and getting your clients substantial (and sustainable) credit requires you to keep working and improving all six of the scores and ratings — and you can't do that if you don't have the knowledge and experience to accomplish that for your clients.

In Don's case, his 80 Paydex score wasn't doing him any good because the rest of his scores were horrible. Instead of boosting his ability to get approvals, his scores were sending just the opposite message, telling creditors his business was high risk, low