Credit score is an assessment of the creditworthiness of an individual or enterprise to determine whether it is safe.
- It is an algorithm for estimating the credit risk of potential debtors (such as the ability to pay on time).
- It combines the main variables. Such as trade payment information, public information, industry analysis, debt, borrowing and other key performance indicators.
- Credit scores can be used to predict the likelihood of business failure.
- It scores the credit score of individuals/businesses on a scale of 0-100. A higher score means a lower risk of default or bankruptcy, and a lower score means a higher risk of default or bankruptcy.
There are 2 credit score companies of FXPro as below.
Creditsafe is the world’s most commonly used commercial credit report provider, with the largest own database covering more than 240 million companies worldwide.
100,000 customers from all over the world have joined this company in order to make better business decisions.
DueDil provides authoritative data and rich background information for more than 40 million companies in 9 European countries.
It aims to make information about private companies as complete and accessible as public companies.
The chart below shows the credit scores of Creditsafe and DueDil among the 9 largest foreign exchange providers in the UK.