--- title: Credit Risk description: We only accept invoices for goods and services that have already been delivered. We do not finance invoices for goods/services to be provided in the future. See what information we use to make a credit decision. --- Toggle navigation [![Investly](https://www.investly.co/hubfs/Images/logo.png)](https://www.investly.co/?hsLang=en) - [Log in](https://app.investly.co/#/login) - [![Sign up](https://no-cache.hubspot.com/cta/default/2584109/b2aef2eb-f651-4e3e-bd41-67b4cff7c3e6.png)](https://cta-redirect.hubspot.com/cta/redirect/2584109/b2aef2eb-f651-4e3e-bd41-67b4cff7c3e6) - [+372 5387 0877](tel:00372%205387%200877) - [Finance invoices](https://www.investly.co/?hsLang=en) - [Invest](https://www.investly.co/invest/?hsLang=en) - [Help](https://www.investly.co/help-investor?hsLang=en) - [Blog](https://www.investly.co/blog/?hsLang=en) # Credit Risk #### What information is used to make a credit decision? Investly only accepts invoices that have been issued to businesses that have a history of trading for at least five years, annual turnover of at least £1 million and a good credit standing (at least three years, annual turnover of €500,000 and a good credit standing in Estonia). We run background checks for the seller company’s directors and stakeholders, we also make sure the seller company has a good credit standing. To get a better grip on the company’s health, we ask for the bank statements of all of their account for the previous 6 months. Bank statements offer a very intimate look into company’s financials and they are more up to date than annual statements. Bank statements and other sensitive information is not shared with third parties. #### Invoice confirmation We only accept invoices for goods and services that have already been delivered. We do not finance invoices for goods/services to be provided in the future. We ask the company paying for the goods/services to confirm that: they’ve received them they are happy with the quality they agree to pay directly to Investly’s bank account (as stated on the invoice)   Receiving confirmation lowers is important as it lowers the risk of disputes. The seller will only receive money once we've received confirmation from the debtor. #### What information do investors see? We run credit checks, background checks and fraud checks to determine the creditworthiness of all companies selling invoices. To help investors make an educated decision, we share the summary of our findings gathered from public databases (see below). Investors can also see information on previous invoice you have sold on the platform. We do not share private information. #### Seller & debtor background A short description about the seller and debtor company is provided on the auction page. #### Credit rating We use Estonia’s largest and most trusted credit scoring agency, Creditinfo Estonia AS (subsidiary of Creditinfo Group), for the credit rating and likelihood of default score. In the UK, we use Experian and DueDil. The rating is expressed in letter combinations: AAA stands for excellent AA for very good A for good BBB for satisfactory BB for passable B for weak C for unsatisfactory (Investly does not accept C rated companies)   #### Probability of default Probability of default (PD%) shows the likelihood of the company falling into arrears within the following 12 months. At less than 5% the risk is low Between 5 and 12% the risk is considered moderate At 12% or more it is considered high risk. #### What happens in case of debtor insolvency? In the case the debtor has difficulty paying or is refusing to pay, we ask the seller for recourse - this means the seller of the invoice has to repurchase the invoice in full (principal + interest + any overdue fees). Recourse is applied if 30 days have passed since the original payment date. As a final guarantee, we have a personal guaranty from the seller company's director. #### **Investing in invoices carries risk of capital loss.** ##### Sitemap - [About Us](https://www.investly.co/about/?hsLang=en) - [Blog](https://www.investly.co/blog/?hsLang=en) - [Terms](https://www.investly.co/v6/%C3%BCldtingimused-en-0?hsLang=en#estTermsOfUse) - [Credit Risk](https://www.investly.co/invest/risks/?hsLang=en) - [Jobs](https://investly.workable.com/) - [Pricing](https://www.investly.co/pricing/?hsLang=en) - [Help](https://www.investly.co/help-investor?hsLang=en) - [Privacy](https://www.investly.co/privacy?hsLang=en) ##### Social - [![](https://www.investly.co/hubfs/Images/facebook.png)](https://www.facebook.com/investly) - [![](https://www.investly.co/hubfs/Images/twitter.png)](https://twitter.com/investly_co) - [![](https://www.investly.co/hubfs/Images/linked-in.png)](https://www.linkedin.com/company/investly) ##### Locations - [Lai 35, Tallinn 10133](https://goo.gl/maps/qygCosHweHq) - [65 London Wall, London, EC2M 5TU](https://goo.gl/maps/Ez9TBAi5EsA2) ##### Support - [Tel: +372 5387 0877](tel:ET%20+372%20602%207440)[support@investly.co](mailto:support@investly.co)   ![map.png](https://www.investly.co/hs-fs/hubfs/Images/map.png?width=262&name=map.png "map.png") Copyright © Investly 2024. All rights reserved. Investly Technologies OÜ, Lai 35, Tallinn 10133. Registration number 12710066. Investly Ltd, 65 London Wall, London EC2M 5TU. Registration number 08966482. ![](https://googleads.g.doubleclick.net/pagead/viewthroughconversion/944007588/?guid=ON&script=0) ![](https://dc.ads.linkedin.com/collect/?pid=15495&fmt=gif)