Creditreform rating - a precise safeguard indicator

• The rating is the most important element in Creditreform's Business reports.
• It allows a quick and direct check of a customer's reliability and the probability of default (PD) PD is an indicator of the probability that a company in Germany is downgraded to one of Creditreform's two worst rating levels in the coming year.
• The index is compiled on the basis of a number of relevant credit markers.
• A company's credit risk is indicated by a three figure number (between 100 and 600) representing the company's overall level.
• Creditreform's rating forecasts the following 12 months. 

Applying Creditreform's rating to debt managemen

• High level of selectivity, avoiding defaults due to insolvency.
• The basis for categorising partner risk, setting up lines of credit, payment terms and the need for guarantees
• Incorporation into the evaluation system
• The benefit of objective, external information
• Valid report on probability of default using the standard international definitions for default criteria.
• Mapping on a general internal scale
• Modern software for integration into the customer's (management) system

The index as the central element in ratings reports
Definition of Creditreform rating

New and extremely clear description in the ratings reports

Bonitätsindex2.0: Not just good. The best!