The Nav Credit Ranking Score Explained
Nav’s credit rating is determined by Experian’s Intelliscore V2 scoring product – a statistically derived algorithm that determines risk based on multiple factors: Credit: number of trade experiences, balances outstanding, payment habits, credit utilization, trends over time; Public Records: recency, frequency and dollar amounts associated with liens, judgments, bankruptcies; Demographic Information: years on file, SIC code, business size.
The Nav Business Credit Grade is a letter grade representation of a business’s Experian Intelliscore. The Intelliscore is used to predict seriously derogatory payment behavior. Scores range from 1 to 100 where 1 represents a high risk and 100 represents a low risk. The Nav Business Credit Grade follows the same scale using letters wherein A represents a low risk and F represents a high risk.
Credit obligation information is collected by Experian from thousands of businesses nationwide. These businesses are typically the suppliers or lenders with which your company has existing relationships. The information also comes from public records, which show actions or incidents filed or recorded with a government agency for tax and other regulatory requirements. These records are made available to the public to better protect the interests of the filer.
Information updates in real time as new data is gathered by Experian. Experian receives public record information from government and vendor sources on a daily, weekly, monthly or quarterly schedule. Once information is received, it typically takes 48-72 hours for public records other than bankruptcies. Bankruptcies typically are updated within 24 hours of the original filing.
Checking your business credit report does not affect your business credit score. Pulling your own business credit report is considered a soft inquiry. Soft inquiries do not affect your business credit score.
A minimum amount of information is required to generate a score, so your business may not meet these requirements. The minimum information is at least one tradeline and/or one demographic segment. If you don’t have a score, you’ll want to take steps to establish a business credit profile. Having a thin file can be as bad as having lower scores.
If you believe that your company’s report contained inaccurate information, you can contact Nav’s customer service to help update your company details or you can visit www.BusinessCreditFacts.com to dispute information directly online with Experian.
Companies that extend secured loans to other business file Uniform Commercial Code (UCC) documents with the appropriate secretary of state office to protect their interest in the asset. United States statute covering the rights and obligations of the various parties involved in the purchase and sale of goods is referred to as the Uniform Commercial Code.
DBT refers to “Days Beyond Terms” and is the average number of days a firm pays its bills past the invoice due date. Learn more about Payment History & DBT.