Maximize Your Rental Debt Recovery

By reporting rent payments to the credit bureaus you help maximize your rental debt recovery.

First, by reporting your rent payments to the credit bureaus you help prioritize them above other financial obligations your tenants may have that are not being reporting. Second, you offer them a sort of hammer-shaped carrot for making their payments on-time by establishing a positive payment history for them with the credit bureaus. Finally, if all else fails and the tenant moves out or is evicted due to non-payment of rent, you can report their unpaid balance to the credit bureaus as a collection, saving yourself the costs of hiring a third-party collection agency or seeking a judgement in court.

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To learn more about the benefits of sharing your rental payment data with the credit bureaus contact us at (425) 780-4530 or email us at support@datalinxllc.com.

Technorati Tags: consumer credit reporting, Credit reporting software, How to report credit, Metro 2 Credit Reporting Software, Rental Payment Reporting

The Benefits Of Reporting Commercial Credit

Reporting Commercial Credit

As you are getting started in your business, you can use your personal credit for the business. However, establishing credit with a credit reporting service, in the name of the business, is very important. Business credit reports compare the stability of a business to similar businesses participating in the credit reporting service. Businesses involved in extending credit use these reports to determine terms of financing. Suppliers and shipping companies review the credit history of your business when deciding whether to grant a line of credit. Firms participating in a business credit reporting service are more visible in the marketplace. Being listed with the business reporting service helps consumers find your company through internet searches that link the firm’s name to the name or key words in the firm’s credit report.

To start the process of building a credit file for your business, obtain a tax identification (ID) number from the Internal Revenue Service (IRS). Next, obtain a unique identification number for your firm, called a Data Universal Numbering System (DUNS) number, through <a href=”http://www.dnb.com” target=”_blank”>http://www.dnb.com</a>. Once you have obtained the DUNS number, become a subscriber of a reporting service by submitting financial statements and registration information on your business to one of the three major national credit reporting agencies. To ensure the most favorable credit rating, include the strongest or most well-established opened trade line-of-credit accounts in your registration information. The reporting agency will contact the creditors you list for the most current information.

A business credit report includes information such as:
 Commercial credit risk score
 Potential for business failure indicators
 Credit filings in existence for secured property
 Business ownership information
 Other businesses owned by the same organization
 Public records of security interest filings

The three major national business reporting agencies are: <a href=”http://www.dnb.com” target=”_blank”>Dun and Bradstreet</a>, <a href=”http://www.experian.com/business-services/business-services.html” target=”_blank”>Experian Business</a>, and <a href=”http://www.equifax.com/business” target=”_blank”>Equifax Business</a>. Each of these agencies has extensive information on their web sites regarding their services. Contact us at (425) 780-4530 to learn more about pricing and additional services.

Technorati Tags: commercial credit reporting, Credit reporting software, how to report commercial credit, How to report credit, Metro 2 Credit Reporting Software

What Are The Requirements For Reporting Rental Data

The requirements for reporting rental data are slightly different that those for reporting regular tradelines.

First, similar to reporting regular tradelines, you must go through a verification process called credentialing. During the credentialing process you will be asked to provide several pieces of documentation to verify the ownership of the property and authorization to report.

However, unlike reporting regular tradelines, the bureaus have no minimums on rental data and do not require on-site inspections. This makes it much easier for smaller property owners to report their data to the bureaus.

There are also no requirements on reporting both good and bad accounts. While the bureau still prefers a full file of information, they will accept delinquent-only files from the rental industry.

Reporting rental data is a new industry for the bureaus. Working with the knowledgeable staff at Datalinx will help ensure a smooth and speedy process towards approval.

Technorati Tags: consumer credit reporting, Credit reporting software, how to report collections, how to report delinquent tenants, how to report rental payments, metro 2 software

What Are The Requirements For Credit Reporting?

While each bureau has their own set of requirements for credit reporting, the process for being approved is very much the same.

First, you must become a Data Furnisher which requires going through a verification process known as Credentialing. Generally the credentialing process includes the following items:

  • Filling out a membership application with the bureau
  • Having an On-Site Inspection conducted on your principal place of business
  • Verification Of Business Credentials (i.e. bank and trade references)

In addition, each potential Data Furnisher must meet the reporting requirements of the bureaus (see below). Keep in mind, these requirements may change at any time so it is best to contact the bureaus directly to verify the current requirements.

  • Equifax – 500 Active Accounts
  • Experian – No Minimum
  • Trans Union – 100 Active Accounts
  • Innovis – 100 Active Accounts

Active accounts are defined as those with an outstanding balance (i.e. Open Accounts, Charged-Off Accounts, Collection Accounts, etc.). Closed accounts that have a zero balance do not count towards the minimums above, however they may still be included in your file.

It is also important to note that each owner on an account will be counted as an active account. For instance, joint accounts count as two towards the minimum, one for the primary account holder and one for the joint holder.

In addition, the bureaus allow you to go back up to 7 years in your portfolio when determining which accounts to report.

And finally, the bureaus only require the minimum number of active accounts on your first file. Future files may fall below the minimum requirement.

Hopefully following these tips, and working with a service provide like Datalinx, will help you meet the requirements for credit reporting.

Technorati Tags: consumer credit reporting, Credit reporting software, How to report credit, How to report to credit bureaus, Metro 2

What is E-Oscar?

what is e-oscarE-Oscar is a web-based tool used by the credit bureaus (Equifax, Experian, Trans Union, and Innovis) and Data Furnishers for managing consumer disputes.

When a consumer disputes a tradeline on their credit report, the credit bureaus enter the dispute into E-Oscar which in turn notifies the Data Furnisher of the dispute. The Data Furnisher can then use E-Oscar to either update the tradeline or verify that the existing information is correct.

In addition to responding to consumer disputes, Data Furnisher’s can also use E-Oscar to process out-of-cycle updates to their tradelines. What they can’t do is enter new tradelines in the system. In order to enter new tradelines you need to submit a Metro 2 credit reporting file.

Datalinx can help guide you through the sign up process with E-Oscar and also work with you on generating a Metro 2 file.

Technorati Tags: Credit reporting software, E-Oscar, How to report credit, Metro 2

I have an old Metro 1 file (aka Metro 272), can I still report that to the credit bureaus?

Yes you can but you will need to convert that to the Metro 2 format. Lucky for you, credit reporting software companies like Datalinx have a process already setup to assist.

We have several customers who have decided not to upgrade their current system and instead use a service to convert the data for them. We accept most kinds of fixed and delimited flat files for importing into our conversion software. While your accounts may require some additional editing to bring them into compliance, our software system will guide you through the process with ease.

Technorati Tags: Credit reporting software, How to report credit, Report credit, Report to credit bureaus

Sticky: Welcome to the Datalinx FAQ site!

This is an interactive site to help answer your questions regarding credit reporting and conversion to the Metro 2 format.

We’re here to help you learn how to report credit – how to decide if you should use a credit reporting service or if you should invest in credit reporting software.

Feel free to post your comments or questions and we’ll do our best to get back to you with answers or other helpful advice. You can also email us directly at support@datalinxllc.com.

Technorati Tags: Credit reporting software, datalinx, datalinxllc.com, How to report credit, How to report to credit bureau, How to report to credit bureaus, Metro 2, Report credit, Report to credit bureau, Report to credit bureaus

Why use a Credit Bureau Reporting Service?

Should you purchase credit reporting software or go with a credit bureau reporting service? Before you can answer this question it’s important to understand the difference between the two.

Credit reporting software is normally a stand alone product where you enter the account information that you would like to report to the bureaus. Users update the information on a monthly basis (enter new accounts, update existing ones, etc.) and then generate an export that they send to the bureaus for processing. This is mainly for customers with no existing account management system, and/or have the time and resources to manage a credit reporting system themselves.

A credit bureau reporting service (or processor), on the other hand, works with your existing system to create an export that can be converted into the Metro 2 format. This is most beneficial for customers who already have an account management system in place and simply want to report their data to the bureaus. With a processor you simply provide the export on a monthly basis and they manage the conversion and submission to the bureaus.

In terms of price, buying credit reporting software usually means higher startup costs (both in dollars and time) but relatively low maintenance fees going forward. Processors tend to have lower startup costs but charge a monthly fee throughout the duration of the service. What will be key in your decision is to consider some of the hidden costs.

For instance, both methods offer ongoing customer support, but with processors the support is usually included in the fee. Software companies will typically charge extra if you need technical support. You may also need to upgrade your software at some point which may cost some additional money (and time) to purchase and install.

The bottom line is do you have the time and resources necessary to install and manage your own credit reporting system? If so, then software is the way to go. If not, then a service provider may be your best bet.

Technorati Tags: credit bureau reporting processor, credit bureau reporting service, Credit reporting software, credit reporting system, Metro 2, Report credit