Payment Behaviour Indicator (PBI)

The Payment Behaviour Indicator (PBI) measures how quickly a company pays its bills. This indicator is based on the number of days invoices are paid after the due date, weighted according to the value of the invoices. The PBI provides insight into the current payment behaviour of companies and is displayed on a scale from 1 (very late payer) to 10 (timely or early payer). 

Payment Expectation Indicator (PEI)

The Payment Expectation Indicator (PEI) measures the likelihood that a company will not pay its bills in the next 12 months. This indicator not only evaluates commercial payment data but also examines a company's balance sheet and its obligations to its creditors in relation to the level of available commercial data. The PEI is displayed on a scale from 1 (high risk of non-payment) to 10 (payment very likely). 

Days Beyond Terms (DBT)

Days Beyond Terms (DBT) is a score that calculates the average number of days a company needs to pay its suppliers after the payment term. This score provides insight into a company's payment discipline and is an important indicator of a company's creditworthiness.

Trade Payment Data (TPD)

Trade Payment Data (TPD) provides valuable insights into companies' payment behaviour by analysing millions of invoices worldwide. This data helps to form an accurate picture of companies' payment performance, which is essential for making informed credit decisions. 

By participating in the TPD programme, companies can contribute to a larger knowledge base and promote best trade practices.

Importance of these indicators

These payment indicators are crucial for assessing the financial health and creditworthiness of companies. They help identify potential risks and make informed decisions when entering business relationships.