What You Need To Know About A Company Credit Report

Corporate entities, just like individual consumers, have credit reports. This is because they have the ability to procure goods and services on credit terms as well as borrow money from lenders. Companies that always pay suppliers late or fail to service their loans accordingly can expect to have a tainted credit report. On the other hand, companies that always pay suppliers on time have a decent credit rating. When applying for a loan, a firm may need to submit a company credit report together with their application. In many cases, however, lenders can pull the report on their own when processing applications.

Since credit reports can have errors, it is always a good idea to check the report regularly and have any errors fixed. For instance, a loan may be listed as unpaid or in default, despite being paid well in advance. Therefore, the directors of a company have to check the accuracy of the information on their credit report regularly.