Trade Reference
A statement from an existing supplier about how a customer has paid, used to gauge creditworthiness before opening an account.
What it is
A trade reference is feedback from a business that already supplies the applicant on credit. It typically confirms how long the account has run, the usual balance, and whether payments arrive on time. Two or three good references give useful colour that a bureau report alone may miss.
Using references well
Always contact the referee directly rather than relying on a written note the applicant supplied, since these can be cherry-picked. Ask specific questions about lateness and disputes. Capture the answers on the credit application file so the basis for approval is recorded.
Confused by the jargon?
Our team explains your options in plain English — and recovers what you're owed, commission-only.