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Credit protection offers important protection against customer credit losses. It helps safeguard one of your company's most important assets - your accounts receivable. Credit protection is preferred by companies that do not want or need the full range of services provided by factoring.
Below are answers to some of the most commonly asked questions about credit protection. If you have additional questions, contact us and we would be happy to discuss how this service could help your company.
Frequently Asked Questions
What is CIT's credit protection?
What services does CIT provide?
What are the benefits of credit protection?
How does credit protection work?
Can CIT's credit protection help your company?
Why use CIT?
What size companies does CIT serve?
What industries does CIT specialize in?
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What is CIT's credit protection?
CIT's credit protection program can help protect your company against bad debt losses. It is an agreement between CIT and your company in which CIT approves credit lines for your customers and guarantees your customers' financial ability to pay. If a customer defaults, CIT assumes responsibility for payment. Throughout the process, you maintain complete control over your bookkeeping and collection functions, while CIT approves credit and guarantees payment.
What services does CIT provide?
- Performs credit investigations
- Establishes credit lines
- Maintains credit files
- Guarantees payment
Your company maintains control over its bookkeeping and collection functions.
What are the benefits of credit protection?
- Eliminate credit losses
Whether you are entering new markets, selling to new customers or are concerned about your credit exposure to your existing customers, CIT's Credit Guarantee can ensure you'll get paid on approved orders.
- Avoid future credit problems
As one of the nation's largest providers of credit protection, CIT is among the first to know when retail and wholesale credit problems arise. Put this knowledge to work for you.
- Confidentiality
You can protect your company against bad debt losses without letting your customers know you are concerned about their creditworthiness.
- Ease of implementation
CIT's credit protection can be quickly implemented and integrated into your current operations. You maintain control over all bookkeeping and collection functions.
How does credit protection work?
Step 1
When you sign up for CIT's credit protection, CIT will customize a procedure for approvals for all orders.
Step 2
You ship the approved orders to your customers.
Step 3
You bill and ledger the accounts receivable and pursue diligent collection efforts.
Step 4
Report sales and accounts receivable aging to CIT monthly.
Step 5
Within a predetermined time frame (i.e. 90 days past due), CIT will purchase all approved, undisputed invoices and pay you the full value.
Can CIT's credit protection help your company? Take this test! | 
