Detailed Trade Risk Insight (DTRI)

What is Detailed Trade Risk Insight?

Detailed Trade Risk Insight is a source of trade and payment insight from the Dun & Bradstreet Data Cloud that contains comprehensive payment experience and open balance data. DTRI provides granular trade details on over 1.5 billion commercial trade experiences from 260 million supplier/purchaser relationships among US businesses.

This dataset can provide increased visibility into recent and seasonal trade payment behavior. Its month-to-month time-series view provides credit teams with significant predictive lift and the deep insight needed for business decisions.

Detailed Trade Risk Insight offers a unique combination of:

• Comprehensive, dynamic and time-specific data from the Data Cloud
• Trade details on over 1.5 billion commercial trade experiences such as open balances, payment behavior, collection activities and aging past-due amounts
• Increased time sensitivity to spot changes in company payment trends from discrete date of experience level detail

Where Can I Find Detailed Trade Risk Insight?

Detailed Trade Risk Insight is available in our credit risk management platform, D&B Finance Analytics Credit Intelligence and the D&B Direct for Finance API.

What Data Does Detailed Trade Risk Insight Include?

With Detailed Trade Risk Insight, you can gain a deeper understanding of payment behavior and identify changes or trends in payment behavior with:

• 3-month and 12-month Days Beyond Terms as reported to Dun & Bradstreet alongside the number of payment experiences as an indicator of how quickly the company pays its bills
• 13-month payment trend chart of amount owing and past due
• Recent Derogatory Events as reported to Dun & Bradstreet, along with the total dollar amount and the number of accounts that have been placed for collection or written off

What are 3-Month and 12-Month Days Beyond Terms?

The 3-month Days Beyond Terms is a dollar-weighted average of payment experiences that have been reported to Dun & Bradstreet within the past 3 months. Similarly, the 12-month Days Beyond Terms is a dollar-weighted average of payment experiences that have been reported to Dun & Bradstreet within the past 12 months.

Days Beyond Terms indicates how timely a company makes payments and is provided together with the number of reported payment experiences and the number of reporting companies for additional insight.

How Does Days Beyond Terms Differ from the D&B PAYDEX?

The 3-month Days Beyond Terms provides a dollar-weighted summary of payments reported within the past 3 months, whereas the 3-month D&B PAYDEX provides an algorithm-driven score that uses the payment history trend from the past 12 months of account activity – in addition to the current period.

Sometimes the Days Beyond Terms figure can differ from D&B PAYDEX. This is possible due to the specific inputs that drive the individual results. In addition, Days Beyond Terms uses more granular payment data such as the exact number of days past due and the exact dollar amount, rather than more general information such as payment manner.   

How Should Derogatory Events be Interpreted?

Derogatory events for each month should be viewed as a stand-alone value instead of as a recurring value related month over month.

When a derogatory event has been reported on a company, Dun & Bradstreet discloses the reportable details that the trade supplier provided about the event. Some of Dun & Bradstreet’s trade suppliers continue to report the same derogatory event data month after month until the issue is resolved. Other suppliers only provide a one-time notification of the derogatory event with no follow-up on the account.

For example:

• When the reported amounts remain the same month-to-month, the same account may be reported multiple times over the period.
• When reported amounts increase or decrease month-to-month without changes in the number of accounts, the amounts placed for collection for those accounts may have been adjusted or new accounts may have been reported to replace previously reported accounts.
• When reported amounts increase month-to-month, new accounts may have been placed on collection.

When an Account is Placed for Collections, How Long is the Account Reported?

While some suppliers continue to report accounts placed for collections, others only supply a one-time notification. As such, if a supplier continues to supply information on accounts placed for collections, Dun & Bradstreet will continue to show it as long as the day of last sale is within the last 12 months. For the one-time supplier placed for collections, the account will not appear in the following month.