PAYDEX 101™

PAYDEX is Dun & Bradstreet's payment behavior score. It reflects how a business pays its bills, expressed on a 0 to 100 scale where a higher number generally means payments are made earlier relative to the agreed terms. It is a payment performance indicator, not a guarantee of credit approval.

Dun & Bradstreet (D&B) generates the PAYDEX score from trade experiences reported by vendors and suppliers. It appears on a business's D&B credit file alongside other ratings and scores.

Each reported trade line shows whether invoices were paid early, on time, or late. A pattern of on-time or early payments generally supports a stronger score, while a pattern of late payments tends to lower it. One off payment rarely decides the score; the pattern does.

PAYDEX compares your actual payment dates to your agreed terms, not to the calendar. Paying on time means meeting your specific terms, whether Net 15, Net 30, or Net 60. The same payment date can score differently depending on the terms on that account.

A late payment means paying after the due date on the terms. Lates can stay on your trade file and may signal risk to future creditors, which can weigh down the score over time. The further past due, the more it can hurt.

Paying before the due date may show up as an early or prompt payment experience. Consistent early payments can support a stronger payment pattern, though specific outcomes vary by profile and by how each trade partner reports. This guide describes the mechanism, not a guaranteed result.

Only vendors that report to D&B contribute to PAYDEX. A vendor you pay perfectly but that never reports won't influence your score. Before you rely on an account to build credit, verify reporting directly with the creditor. Reporting policies and approval requirements can change.

Pull your D&B business credit report through dnb.com or a D&B monitoring product. Review your trade lines, confirm which vendors are reporting, and dispute any payment records that are inaccurate. Checking your own file does not penalize the score.

• Assuming every vendor reports. Most don't.
• Paying early on non-reporting accounts and expecting a score lift.
• Ignoring terms and treating all on time payments as the same.
• Opening many accounts at once and missing a due date.
• Confusing PAYDEX with FICO or personal credit scores.