Moderator Emeritus
ByrdMan
Posts: 7,975
Registered: ‎12-19-2007
Re: Business Credit 101
[ Edited ]
Cooda:

Experian Business uses Intelliscore and D&B uses Paydex. The scoring systems are different. D&B is much more widely utilized, by about 5x as many businesses subscribing. Your paydex score is very likely different from your intelliscore.

Busyone, I am a commercial banker. I have worked for large banks and a relatively small bank, and now for myself. I have to reiterate that you should head off to your local bank with the docs in hand that I mentioned earlier. Come ready to tell your story to the bank and see what happens. Know exactly how much of a LOC you want and be prepared to show financials that support your request. Banks will typically want a PG at first, but show them that you will do what you said you will do and they will be willing to listen to requests for releasing the guarantee come annual review time.

edit: Five point capital is equipment leasing. If you want an LOC, head to your bank and establish a relationship with a Comm. Banker.

Message Edited by ByrdMan on 01-07-2008 08:19 PM
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Do what is true in spite of the consequences--your future is only as true as you are.
Valued Member
busyone
Posts: 48
Registered: ‎09-05-2007
Re: Business Credit 101
Hi Brydman,
                     I appreciate your advice. However my husband has many, many buddies,friends,
that are commercial bankers here at local banks, 5 to be exact. He/we have many mortgages
on investment properties that we have owned nearly 3 years ago.These bankers just will not
talk to us. With all due respect to your advice they want way to much. All of these "friendly"
neighborhood bankers have all thier underwriters they have to talk to and it's always the same
old story. I'm sick of leveraging out my property and putting another lien on these properties
for small lines of credit. Every banker, who again I reiterate, have become friends of ours that
we socialize with,etc., all say their hands are tied.  The day of working with the local banker
is over frankly imo. This is the day of the internet and you have to search all over to find the
best deal. I'm no longer going to pledge my first born to the "local banker' for a small loan.
My personal credit score is above average and climbing and my husband just has a ton of
mortgages on his and 3 30 day lates, over a year ago, on his credit cards, so his score is down.
Mine is good, yet these bankers want so much documentation it's absurd. There are banks popping
up all over the place here. But where is the commercial banker that does not have to answer to
him,her, and everyone else in their underwriting dept.??? It's ridicuously frustrating. My husband
and I have owned a business for 21 years. We just want a small business loan and would love
to get something simple.
Moderator Emeritus
ByrdMan
Posts: 7,975
Registered: ‎12-19-2007
Re: Business Credit 101
Hi Busyone. I understand that sentiment. There is a lot (far too much) of that going on in the industry. But, in my last bank, I had lending authority, whereby I could lend up to a certain amount aggregate to any one customer or related entity. I made my analyst understand the deal, but I was the lender/banker. I made sure that the deal made sense and didn't put the bank in a compromising position. If it was above my authority, I took it to loan committee in the manner in which it would make the most sense to the board.

Now, I also mentioned that you could negotiate to have that PG removed come annual review time. With that said, what is your EX scores, both you and DH? If you don't have any major derogs and a min. of 660-680, you could app for a WFB unsecured Business LOC for up to $100M (thousand, not million). I was just pre-approved for one. WF Business Bank pulls EX only, according to the rep that I spoke with a few weeks ago.

Best of luck to you.
___________________________________________________________________
Do what is true in spite of the consequences--your future is only as true as you are.
Regular Contributor
igdycsmG6
Posts: 125
Registered: ‎06-14-2007
Re: Business Credit 101
[ Edited ]
T, Thanks for the BC101 information it was concise and useful. I bought the $9.99 report and do not believe I see my D&B number. Is it the 7 digit number I see to the left in the billing area. I see that my company has finally been listed and that a number does exist, but I did not readily see any number marked plainly as the D&B number. I called D&B before I saw your post, but the rep did not send me the information as she promised. She was not as bad to deal with as they were early last year when I first applied, but still came off as a pushy salesman. Your postings are much appreaciated Again Thanks,

Message Edited by igdycsmG6 on 01-09-2008 01:43 PM

Starting Score: EQ:609
Current Score: 624
Goal Score: EQ:725


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Valued Member
busyone
Posts: 48
Registered: ‎09-05-2007
Re: Business Credit 101
igdy,  the 7 digit # you see is your d&b #  but not your paydex #.
Valued Member
busyone
Posts: 48
Registered: ‎09-05-2007
Re: Business Credit 101
Byrdman, thanks again for the good info. My current exp score is 660. No derogs except
a 30 day late back to back to Target over a year ago, and 1 30 to citi card also over a year ago.
There's also a lousy $40.00 collection from 2006 that has long been paid but just won't drop
off. It only shows up on experian.  What"s "DH"??? Sorry if I should know(I'm typing this at
6 pm after a long day, brain a little tired,lol).  Thanks again.
Moderator Emeritus
ByrdMan
Posts: 7,975
Registered: ‎12-19-2007
Re: Business Credit 101
Busyone, DH (dear husband). What is his EX score? I spoke with a CSR @ WFB when I got the pre-approval in the mail, and she told me that they only pull EX (boy was I hoping for EQ). I also have a couple of lender buddies that work there and they don't want many, if any, derogs. If you can't get those derogs GW'd, be ready with an explanation of what happened (preferably written).

BTW, the duns # is a nine digit number. Not sure what the seven digit is.
___________________________________________________________________
Do what is true in spite of the consequences--your future is only as true as you are.
Valued Member
busyone
Posts: 48
Registered: ‎09-05-2007
Re: Business Credit 101
Byrdman,......."DH.........Hmm I could think of somethings for that abbreviation,lol.
 
Unfortunately, with most of our investment properties in his name and one 30 day on
a mortgage, his is not to good. So at this point most everything is in my name. My Eq.
is the highest as well, but it seems most companies want Exp. I can't for the life of
me understand why that collection for a lousy 40 bucks just won't drop of Exp. Again
it's not on Eq. or TU.  I have all the documentation to show it's long pd.
 
    Anyway, at this point I am seriously thinking of biting the bullett and going with a
company out of Co.  a access funding group that for a fee will help find you loc's for
your business. My husband and I still have a business that's been in business for over
20 years. With my decent scores I believe we can access some working capital. Thanks again.
 
   Yeah, the 7 digit # has me perplexed as well. I just know a paydex score is just
 2 #'s.
Valued Member
hstone
Posts: 39
Registered: ‎08-17-2007
Re: Business Credit 101
Sorry if this is a silly question but what does PG stand for?  I don't see it listed with the rest of the acronyms.
Frequent Contributor
braznyc
Posts: 394
Registered: ‎12-10-2007
Re: Business Credit 101
PG = personal guarantee. :smileyhappy: I've learned you want to try to do this as little as possible with business credit.