altbanq and Hansa have formed a strategic partnership to strengthen businesses’ credit profiles through automated loan payment reporting. While altbanq has established itself as a trusted provider of business financing and credit card processing services, Hansa specializes in helping businesses build their credit through streamlined reporting to major credit bureaus.
Through this partnership, altbanq customers now benefit from automatic payment reporting to credit bureaus via Hansa’s established reporting system. When businesses make loan payments to altbanq, that information flows seamlessly to Hansa, which ensures accurate reporting to the credit bureaus—helping businesses build stronger credit profiles to improve access to finance for future expansion opportunities or vendor credit opportunities.
The Partnership
The new partnership allows altbanq clients to build an accurate business credit score, which is crucial for businesses of all sizes. Business credit is distinct from personal credit and encompasses payment history and the identity of a business. This score carries significant weight: it helps determine not only whether a business can secure loans or trade credit, but also influences the terms they receive. Lenders, credit card companies, and vendors all rely on business credit scores when deciding interest rates, repayment terms, and credit approval.
Together, altbanq and Hansa are working to change the business credit reporting landscape for the better.
Why Now?
Credit reporting is vital for building business credit, a fact that most business owners recognize. And yet, a majority of commercial lenders do not report their borrowers’ loan payments to the three major commercial credit bureaus: Experian, Equifax, and Dun and Bradstreet. In the credit reporting landscape, businesses often fail to reap the benefits of making on-time payments like you typically do when you pay down your personal credit scores.
Hansa CEO Henry Magun says, “The bureaus exist for [term loan lenders, credit card companies, and trade credit issuers] to report their borrowers’ payments to those bureaus. Unfortunately, most of the parties do not actually report to the credit bureau.” Since the financial institutions that businesses borrow from don’t report to these bureaus, many businesses don’t build any credit history.
Hansa is committed to developing tools for lender reporting, providing business owners with the ability to track and monitor the development of their business credit profiles. By partnering with lenders like altbanq, Hansa enhances the business credit reporting process for altbanq’s clients.
What’s Next?
altbanq and Hansa are on a mission to make borrowing and building credit easier than ever for businesses. Hansa is working toward standardizing business credit reporting so all businesses and creditors are better aligned. altbanq continues to scale its lending operations by offering innovative financing for businesses of all sizes and stages, particularly through new products like altbanq zero and altbanq float. Through our collaboration, we provide financial solutions that help businesses achieve their next milestone.