Payment Defaults
A powerful tool to get paid faster
What is a payment default?
Payment defaults are just one of the unique data sources that CreditorWatch uses to set itself apart from other commercial credit bureaus.
A payment default is a black mark on a credit report that indicates a business does not pay their bills. It can stay on a credit report for up to five years, affecting the business's credit score.
It also generates an alert to other businesses in the 50,000+ strong CreditorWatch community of their failure to repay a debt.
The stats that matter
- 91% of customers will not engage with a company that has a default.
- Over 50% of businesses that incur a payment default will go into administration within 18 months.
- A director that incurs a payment default is 5 times more likely to experience another.
What can a payment default do?
Registering a default on our bad debt register will prompt a slow or non-paying customer to pay their outstanding debts out of fear of ruining their credit file and deterring other suppliers.
Even warning a debtor that you will lodge a payment default against them can be enough to get paid faster.
Learn how a Western Australian wholesaler recovered their debts in this case study.
Common Questions About Payment Defaults
You need to provide a commercial invoice or a final demand notice. Court documents are not accepted.
You can register a payment default for any overdue payment. There isn't a minimum amount of days it needs to be overdue.
Once paid, a default will be marked as settled but will still remain on a credit report for up to five years.
