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Credit Rating Prediction

In this project, I analyzed customer's historical financial data and predicted if he/she will repay the loan or not

Project Intro/Objective

To predict if a new customer applying for a loan will have a good credit rating or a bad credit rating

Project Description

Simply put, credit rating is the ability of a person to fulfil their financial commitments. This rating is arrived at, using the historical financial data of the person.

Since it is a classification problem, in this project I used K-Nearest Neighbors

  • Algorithm used: K-Nearest Neighbor
  • Optimal K-value selection: Based on accuracy scores for various K values, k-fold cross validation
  • Validation techniques: Accuracy score, confusion matrix, ROC curve, AUC score

Technologies

  • Python

Needs of this project

  • data exploration/descriptive statistics
  • data processing/cleaning
  • Data Visualization
  • Predictive Modeling

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