The economic ride continues to be rocky, which means that two steps forward and one step back is going to be the norm for a while. Sometimes it’s going to be one step forward and two steps back.

We’ve covered credit before. The market is telling us it’s time to cover it again.

After a bit of easing, credit for energy providers has tightened up again, perhaps tighter than at any previous point. No one wants to take any risks with anyone, and no one is getting cut any breaks. We’re seeing conditions and demands we haven’t seen before.

In the current market, with energy prices so favorable and substantial savings to be had, this is leading to some heartbreak.

We can’t stress this enough: maximum savings come to those who are ready to sign a contract NOW. That means having your credit in shape for quick approval. These days, that means six-pack-abs shape. An offer may be valid for just a day, or even just a few hours, and if credit holds things up it can mean offers withdrawn, contracts refused, or hefty upfront deposits demanded. Increasingly, we’re finding that customers who have let their credit get flabby aren’t even getting offers.

And boy, this is not a market you want to miss.

Are you ready to act? Are you ready to save? What follows are the seven deadly sins of credit…the farther down the list, the worse the sin. Do you see yourself anywhere on this list?

#7: No Dunn & Bradstreet listing
This is the first place they look. If you’re not here, you’re nowhere.

#6: An incorrect Dunn & Bradsteet listing
You’ve got a D&B? Great. Have you checked it lately? Is the description correct, as well as the address and contact information? These little details have grounds more than a few contracts to a dead stop.

#5: Multiple company names
If your name changes, if partners change, if business focus changes or the business expands, the company legal records need to updated accordingly. Otherwise, creditors see multiple DBA’s (Doing Business As) on your D&B. This does not make them happy. Record updating is one of those “we’ll get around to it someday” things…get around to it. By the way, federal and state tax laws require it, as well.

#4: Too many credit checks
No matter how good your credit score, each time a potential new creditor takes a look, it’s listed on your credit report. If the report shows more than 3 or 4 of those checks in a 30 day period, that raises red flags.

#3: Too many credit accounts.
AIG had lots of irons in the fire, way beyond their ability to pay. AIG was fine. AIG was king. Then AIG nearly brought down the world’s economy. Too many credit accounts is a VERY bad idea right now. Doesn’t matter that your history is rock solid, or that you don’t use the majority of them. If the potential is there to overstretch your budget, providers are going to be nervous about you.

#2: Too few active credit accounts
On the other had, you need a good payment history with a decent number of accounts. A lack of information here can make providers think your business is not as successful as it should be. Problem!

#1 Paying your bills late
This is the biggee. Even one day late is marked on your report as a late-pay. Some energy providers insist upon 6-12 months of “clean ” bills…that is, no late payments…before they will offer a contract. Oh, and right now, on time means you need to pay before the due date. Yes, things are that tight.

Did you come through clean? If not, Cost Containment Intl. can advise you on ways to get your credit out of purgatory. Give us a call.

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