Credit monitoring

Credit monitoring is closely related to credit scoring - but is often carried out much more frequently - and this often makes it much more valid if you have a customer relationship that extends over a longer period of time.

What is credit monitoring?

Credit monitoring is basically an ongoing credit assessment of your customers, where you get important information about your customers - and especially their financial situation - at a predefined interval.

Traditional credit monitoring is often simply built on a continuous query of whether the customer is registered in one (or more) debt registers. Today, however, there is a wide range of tools that have made customer monitoring, customer monitoring and credit more fluid in their definitions. This means that good solutions that handle credit monitoring today often also provide other ongoing information that is deemed relevant, such as: change of name, change of address, new ownership, etc.

In Denmark, credit monitoring can be performed on both private individuals and companies - but there is often more information to contribute for companies, as there are often more public data sources available - and more conditions to report on.

Why should I credit monitor my customers?

There are many good reasons why you as a business should credit monitor your customers - but the overriding one is, of course, reducing the risk of losing money on debtors.

Because with credit monitoring, you have a (better) financial overview of your customers - and thus who you should give credit to - and who you should not give credit to.

Credit monitoring is, as mentioned, a credit assessment, except that it is ongoing. This gives you an ongoing insight into your customers' financial situation - which you can then use the next time they contact you.

The results of the monitoring will often result in whether the company should provide credit - and if so, how long it should be. If the credit monitoring gives a negative picture, and thus a poor credit rating, the company should consider whether the customer should pay cash the next time they shop with you. This will significantly reduce your own risk.

How do you do credit monitoring?

There are many ways to do credit monitoring, but one of the solutions is by using our platform, Qatchr.

Qatchr tilbyder en online platform, hvor du løbende kan abonnere på kredittjek af en eller flere kunder. Det giver dig et løbende billede af dine kunders økonomiske situation og kreditværdighed.

In addition to helping you with credit monitoring, Qatchr can also provide important information about your customers; when they move, change status, publish financial statements, change ownership and much more.

You can try Qatchr today.