Predictive Analytics
Dun & Bradstreet evaluates the sustainability and payment behavior of a company by assessing the risk of failure and the risk of slow-to-severely-delinquent payments through the following scores in the specified markets.
PAYDEX®
PAYDEX® summarizes the payment performance of a company in the past 12-24 months. Based on a number of months (dependent of country) of trade experiences reported to Dun & Bradstreet by various vendors, it is derived from a weighted average of a company’s combined individual payment experiences.
The PAYDEX® ranges from 0-100 where 0 represents the most severe delinquency. An index of 80 reflects prompt payment and any index greater than 80 reflects payment before the agreed upon terms, potentially benefiting from discounts. The PAYDEX® score may be received using the following element:
| //Organization/BusinessTrading/Purchaser/CurrentPaydexScore |
Failure Score
The Failure Score (previously known as FSS) predicts the likelihood that a company will obtain legal relief from its creditors or cease operations over the next 12 month period. Several events can signal the onset of failure, such as, a meeting of creditors, appointing an administrator, filing for bankruptcy, appointing a receiver, or petitioning for winding-up.
Failure Percentile Scores range from 1-100, where 1 represents the highest risk of failure and 100 represents the lowest risk. Percentile score may be received using the following element:
| //Organization/Assessment/FinancialStressScore/NationalPercentile |
Raw Score range from 1001-1999 (the min/max values may differ but will not be below 1001 or above 1999). The Raw score may be received using the following element:
| //Organization/Assessment/FinancialStressScore/RawScore |
Class Score range of 1– 5, segments into five distinct risk groups where a one (1) represents businesses that have the lowest probability of severe delinquency, and a five (5) represents businesses with the highest probability of severe delinquency. This Class enables a customer to quickly segment their new and existing accounts into various risk segments to determine appropriate marketing or credit policies. The Class score may be received using the following element:
| //Organization/Assessment/FinancialStressScore/ClassScore |
The Class score range for specified markets are as follows:
| Class Score | Score Type | Countries |
|---|---|---|
| 1-4 | Failure | Australia, Austria, Belgium, Czech Republic, Denmark, France, Germany, Hungary, Ireland, Italy, Netherlands, New Zealand, Norway, Poland, Portugal, Slovak Republic, Slovenia, Spain, Switzerland, United Kingdom |
| 1-5 | Failure | Canada, Hong Kong, Japan, Taiwan, United States |
| 1-6 | Failure | Thailand |
| N/A | Failure | Sweden |
Delinquency Score
The Delinquency Score (previously known as CCS or Delinquency Predictor) predicts the likelihood that a company will pay in a severely delinquent manner over the next 12 months. A severely delinquent company is primarily defined as a business with at least 10% of its total payments 90+ days beyond payment terms.
Delinquency Percentile Scores range from 1-100, where 1 represents the highest risk of delinquency and 100 represents the lowest risk. Percentile score may be received using the following element:
| //Organization/Assessment/CommercialCreditScore/NationalPercentile |
Raw Score range from 101-999 (the min/max values may differ but will not be below 101 or above 999). The Raw score may be received using the following element:
| //Organization/Assessment/CommercialCreditScore/RawScore |
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