Credit Reports
Centrix credit reports are a summary of an individual or business’s credit activity. They cover their payment history, current credit situation, and the status of their credit accounts.
For information on an individual’s financial history, you can access Centrix consumer reports. To credit check a company, you can access Centrix business reports.
A credit score is calculated from the information in an individual or business’s credit report. It’s a number between 0 and 1,000 that indicates how likely a person or business is to pay their bills on time. The higher the score, the better the credit rating.
Business with high credit scores are 15 times more likely to pay their bills on-time than businesses with low credit score.
Credit reports help you understand a potential customer’s creditworthiness – the likelihood that they will pay their bills, based on their payment history with other creditors.
Using this information, you can reduce your risk by only extending credit* to customers who are likely to pay you on time.
You can also use credit reports to monitor the financial behaviour of your existing customers and suppliers to alert you of any potential payment or supply chain issues.
Companies with high credit scores are 15 times more likely to pay their bills on time than companies with low credit scores. Using this information, you can protect your cashflow by only extending credit to businesses who are likely to pay you on time or dealing with dependable suppliers.
*Credit includes extending products and services to customers in advance of payment i.e. by providing product or service in advance of payment you are extending your customers a line of credit.
Centrix recommends getting a Consumer Credit Report before you offer lending, credit, or payment terms to a consumer. The Report will enable you to quickly assess the likelihood that the customer will or will not be able to pay you. You may also want to obtain a report on an existing customer who is applying for a credit limit increase or as a routine check to see if they are defaulting on their payments to any other creditors.
You may also want to assess the credit risk of company directors if you are going to offer terms of trade or a line of credit to a business.
Centrix recommends getting a Business Credit Report before you chose to do business with another business, especially if you will be offering lending, credit, or payment terms. A Business Credit Report will enable you to quickly assess the likelihood that the customer will or will not be able to pay you. You may also want to obtain a Business Credit Report on an existing customer to check their current financial status, and your suppliers, to give you confidence on the reliability of your supply chain.
All businesses who offer products and services to other people or businesses that involve lending, credit, invoicing customers, or extended payment terms should credit check customers prior to doing business with them. This will help you to identify at risk customers who are likely to default, resulting in you not getting paid for the product or service you’ve already delivered.
Obtaining Centrix Credit Reports is simple and quick. Click here to credit check a consumer, select the pricing option you would like, and set up an account. There are no joining fees and no annual fees.
You can purchase a one-off business credit report for $49 +gst via credit card without setting up an account. Note that if you’re wanting to credit check a sole trader, you will need to do a consumer credit check. Click here to credit check a business, select the pricing option you would like.
To access consumer or company director’s reports, you must have consent from the individual.
Prospective employers or their agent may undertake a pre-employment credit check on an individual for a position involving significant financial risk to the business, with their permission.
Your finances
If your customer or a prospective customer has a low credit score, this means that they are at a higher risk of defaulting on future payments. Knowing a customer’s credit score in advance may help you decide how you approach risk management, for example, requiring prepayment for any goods or services you provide.
It’s best practice to ask new customers to sign terms of trade that give you permission to follow a debt collection process. If you decide to do business with a company with a low credit score, you may also be able to negotiate payment terms that require prepayment or cash on delivery.
On the link below, simply click order a one-off business credit report for $49 +GST each, via the button below. Search your business trading name, add credit card details and the report will be emailed to you within minutes.
If you’re a sole trader, you can download a personal credit report at centrix.co.nz for free. Find out more here.
If you’re finding yourself in the situation where your business is not being paid, and therefore are not able to pay your own bills, it’s important that you protect your own business credit score.
If cashflow constraints mean you cannot pay your bills on time, approach those that you owe money to early, and start with negotiating payment terms. The aim is not to default on payments wherever possible.
The next step may be to discuss with your bank/lender about access to additional cashflow, such as an overdraft or temporary lending, to cover the period you require to pay your bills until you get paid.
This will protect your business credit score and avoid a default against your business. Read more about how to improve your business score here.
Remember in these uncertain times, your customer with a high credit score is likely to be in the same position as you, chasing debtors and managing their cashflow. It’s timely to reach out and talk to them about payment options, such as paying in instalments, so that you can both protect your credit scores, meet your payment obligations, and increase your chances of coming out on the other side of the current economic climate.
Many businesses are struggling during these uncertain times. In additional to credit checking new customers and suppliers, you can also monitor your existing customers for any changes to their circumstances through regular Portfolio Healthchecks, which can alert you to any issues. For example, a change in company status or company directors can be a strong indicator of something going wrong. You may also like to know if your customer ends up in payment default with another credit provider. All this data helps inform any decisions you make regarding payment terms or supply of goods. Contact us for more information: sales@centrix.co.nz
Business credit reports help you understand a potential customer or suppliers’ creditworthiness. That is, the likelihood that they will pay their bills, based on their payment history with other creditors.
Companies with high credit scores are 15 times more likely to pay their bills on time than companies with low credit scores. Using this information, you can protect your cashflow by only extending credit to businesses who are likely to pay you on time or dealing with reliable suppliers.
Having robust Terms of Trade can save you money by addressing any potential future issues with new customers, from the outset of your relationship. Not only do clear terms give you an opportunity to set payment terms in your favour, but they can also give you a clear recourse of action, should non-payment occur.
Payment disputes can be avoided if there are clear terms in writing before work is started or goods are supplied. Many businesses supply goods and services based on informal agreements, which are open to misinterpretation and difficult to enforce when things go wrong.
You can find out more here
There are simple things you can start doing to help you protect your business’s cashflow and make sure you have enough working capital to operate smoothly.
Before extending credit to a customer for a product or service, be sure to conduct a credit check. Consumer credit reports and business credit reports, tailored for the Kiwi market will help you understand a potential customer’s creditworthiness.
Define your payment terms in your initial terms of trade when you engage with customers. When you issue an invoice, ensure that your payment terms are clearly communicated again so there can be no misunderstandings around when payment is due.
You can find out more here
Late or missed payments can negatively impact your business credit score, which other businesses will use to quickly evaluate whether to do business with you.
If for any reason you have a cashflow disruption, you can try to negotiate extended payment terms with suppliers upfront to reduce any impact on your business’s credit score.
You can also talk to your bank or other lender for an overdraft or extension of credit, to help with overheads through periods of uncertainty.
Identity Verification: Smart ID
Centrix Smart ID is a consumer identification service that enables fast, seamless onboarding of new customers and helps you comply with AML/CFT (Anti-Money Laundering / Counter Financing of Terrorism) New Zealand legislative requirements.
Just log into the web portal, enter the name, address, date of birth and government ID details if required, and SmartID will immediately verify the applicant’s identity by checking multiple databases including credit accounts, energy accounts, property ownership records, driver licence and passport records.
The service is also available via API for full seamless integration.
Optional biometrics provides your customers with the ease of completing a reliable identity verification process from the comfort of their own home.
Centrix SmartID with optional biometrics provides a secure, streamlined way to digitally verify the identity of your customers, so you can make a safer business investment or lending decision.
Whether you have an obligation to meet AML/CFT (Anti-Money Laundering / Counter Financing of Terrorism) New Zealand legislative requirements, or are worried about levels of online application fraud, SmartID can help.
All businesses and service providers who have an obligation to meet AML/CFT (Anti-Money Laundering / Counter Financing of Terrorism) New Zealand legislative requirements should use an identity checking service such as SmartID.
In addition, it’s a useful fraud prevention tool for any businesses who offer customers lending, credit, invoice customers or extend payment terms.
Our standard product configuration is suited for most businesses, however, if you want to create a unique user experience, SmartID is configurable to give you the flexibility.
Many businesses are struggling during these uncertain times. In additional to credit checking new customers and suppliers, you can also monitor your existing customers for any changes to their circumstances through regular Portfolio Healthchecks, which can alert you to any issues. For example, a change in company status or company directors can be a strong indicator of something going wrong. You may also like to know if your customer ends up in payment default with another credit provider. All this data helps inform any decisions you make regarding payment terms or supply of goods. Contact us for more information: sales@centrix.co.nz
Business credit reports help you understand a potential customer or suppliers’ creditworthiness. That is, the likelihood that they will pay their bills, based on their payment history with other creditors.
Companies with high credit scores are 15 times more likely to pay their bills on time than companies with low credit scores. Using this information, you can protect your cashflow by only extending credit to businesses who are likely to pay you on time or dealing with reliable suppliers.
Having robust Terms of Trade can save you money by addressing any potential future issues with new customers, from the outset of your relationship. Not only do clear terms give you an opportunity to set payment terms in your favour, but they can also give you a clear recourse of action, should non-payment occur.
Payment disputes can be avoided if there are clear terms in writing before work is started or goods are supplied. Many businesses supply goods and services based on informal agreements, which are open to misinterpretation and difficult to enforce when things go wrong.
You can find out more here
There are simple things you can start doing to help you protect your business’s cashflow and make sure you have enough working capital to operate smoothly.
Before extending credit to a customer for a product or service, be sure to conduct a credit check. Consumer credit reports and business credit reports, tailored for the Kiwi market will help you understand a potential customer’s creditworthiness.
Define your payment terms in your initial terms of trade when you engage with customers. When you issue an invoice, ensure that your payment terms are clearly communicated again so there can be no misunderstandings around when payment is due.
You can find out more here
Late or missed payments can negatively impact your business credit score, which other businesses will use to quickly evaluate whether to do business with you.
If for any reason you have a cashflow disruption, you can try to negotiate extended payment terms with suppliers upfront to reduce any impact on your business’s credit score.
You can also talk to your bank or other lender for an overdraft or extension of credit, to help with overheads through periods of uncertainty.
Personal ‘Frequently Asked Questions’
Understanding how credit information and how it applies to you can be confusing. We’ve compiled a list of the most asked questions people ask about credit checks and their personal credit here
Looking for information about Centrix and the role of a credit bureau? Click here.