Credit Risk Data
4 mins read

Reducing credit risk with data management

What is DebtorLogic?

In a world where the trading environment is increasingly uncertain and information comes at us at an overwhelming rate, having accurate, reliable, and up-to-date business data can make all the difference in how well your business is protected.

Why businesses need data management

It’s one of the biggest problems facing businesses in the 21st century. Data is plentiful in the age of technology, but when it comes to the information we need it often takes more time than we’d like to spend to determine what’s useful to us and what’s not.However, grinding to get that clean and accurate data is vital in keeping your business safe from doing deals with unreliable companies.

With good data management regularly updating and correcting your customer database, having clean data allows you to gain reliable insights to assess business credit risk and identify your most high-risk customers. Ensuring you have the right details on your customers will also help in debt collection. You can likewise keep track of your customers’ payment behaviour more easily, helping you send timely reminders to your late and non-paying customers, and encourage them to pay you back faster.

Being diligent with your data management will not only empower you to make precise data-driven decisions but also take timely actions to mitigate credit risk sooner rather than later.

With data quality and sound credit risk management posing as one of the biggest issues for businesses today, having good data management is easier said than done. Luckily, there are steps you can take to help manage your company’s data without spending any more money, energy or time.

How to improve your data management

The first step you can take to make your business’s data management more efficient is to cleanse your customer database. Keeping dirty data – any information that is incorrect, inconsistent, outdated, or wrongly formatted – can and will result in detrimental, long-term outcomes for your business if you don’t address them soon enough.

So, what’s the best way to go about cleaning your data? Conduct a thorough health check of your business’s portfolio, of course.

A CreditorWatch Portfolio Health Check cleanses your data so you can work more efficiently, manage your credit risk better, and be in a stronger position from which to grow your business. It also provides your company with a fully comprehensive review of your customers, so you can better validate their data, remove and update any inaccurate or outdated information and identify high-risk businesses.

With access to CreditorWatch’s data sources in particular, you’ll be able to gain more accurate insights into your customers and their credit history, no matter the size of your business or database. In turn, our Portfolio Health Check ensures a more streamlined data matching, validation, reconstruction and standardisation process for your business, which adds context to your existing records and captures vital financial information from key institutions like the ATO, ASIC, ABR, AFSA and the Australian courts.

Once all your data is cleaned and collated, your Portfolio Health Check will be presented in an analysis that works seamlessly with your accounting or ERP software and allows you to make the most of your new and improved dataset.

For a service that helps you produce the highest quality of data, CreditorWatch is here to help you level up your database and keep credit risk off your hands for good. Contact us to get started today!

What are the early warning signs and how can you best utilise your debtor management?

DebtorLogic shows you how your customers are paying you in comparison to the market. In regard to payment terms, if a customer is paying you late but others on time, they may be deliberately withholding payments or using you as a bank. If a customer is paying you on time but has stopped paying other suppliers, this is also a red flag.

Deteriorating payment behaviour is a warning sign that a debtor is in financial difficulty and could be at risk of payment default, court action or insolvency. With government subsidies masking these warning signs, keeping on top of trade payment data is vital.

CreditorWatch has an extensive database of corporate and SME data – the best and worst paid companies – to provide the clearest picture with live updates of how the market is really getting paid and the number of outstanding debts growing. Unlike most complicated trade programs, our interactive user interface presents easy-to-read graphs enabling you to identify trends, predict payment behaviour and cash flow problems.

Access valuable customer insights with DebtorLogic

We’ve taken customer feedback on board and transformed our Customer Insights page to make it easier to understand. Interact with the charts to breakdown the data even further and review a list of your customers and how much customer debt there is.

Access the Payment Analysis page to see how your customers are paying you compared to others, including risk levels and collection priority. Toggle to the Risk Analysis page to review how your customers are paying you compared to the entity’s RiskScore rating. This a great way to identify high risk & low risk debtors or accounts to prioritise for collections & accounts to target for further growth and opportunity.


If you need recommendations on which of your customers you should collect from first, click on the 
How To Guide for help deciphering the data.

Get a free ATB analysis to improve your debtor management

An ATB analysis helps you understand who your best and worst customers are with state and industry information. It will also reveal the following:

  • Debtors who are paying you late but others on time and vice-versa
  • Debtors with adverse risk or cash flow issues
  • Collection priority based on data and market insights
  • Historical payment behaviour and trends
creditrisk datamanagement
Communications & Marketing Coordinator
Bridget joined CreditorWatch as Coordinator of Communications and Marketing in June 2021. She is passionate about developing and communicating content that assists businesses of all sizes to be supported and protected to grow.
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