How Is Delinquency Risk Predicted?
The Dun & Bradstreet Delinquency Risk Predictor was developed using a sample of approximately 2+M businesses active in the Dun & Bradstreet file, of which 489,000 paid severely delinquent during the 12-month window. Average delinquency rate is 23.5%.
The Marketing Prescreen Indicator is set by the Percentile Ranking 1-100 as follows:
| Marketing Prescreen (Delinquency Risk) | Delinquency Risk Percentile | % of Dun & Bradstreet Marketing File within this Percentile Range | Delinquency Rates |
| Low Risk (L) | 31-100 | 70% | 14.4% |
| Moderate Risk (M) | 11-30 | 20% | 31.5% |
| High Risk | 1-10 | 10% | 70% |
The Delinquency Risk Predictor models used to set the Low (L), Moderate (M), and High (H)
Data Elements Used in the Delinquency Risk Predictor
The Delinquency Predictor model is built using many attributes from the Dun & Bradstreet global file. A change in any one attribute (such as a new Suit, Lien or Judgment) can impact the Delinquency Predictor score for a business.
| Demographic Data Company Age Years Under Current Management Control Industry Total Employees History Subsidiary Indicator |
Public Record Data Total Dollars and the Number of Suits, Judgments & Liens Number of UCCs Bankruptcy |
| Trade Data Percent of Prompt and Slow Pay Total Dollars and Percent of Trade 31-60 Total Dollars and Percent of Trade 61-90 Total Dollars and Percent of Trade 91+ Current Paydex and Paydex Volatility |
Financial Data Current Net Worth & Change in Net Worth Working Capital National Debt Ratings Financial Ratios for:
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