Application scorecard for Small and Medium Enterprises (SME).
Assess the likelihood of default.
Expediate the application process resulting in expanded business in this sector.
TTD population was used for model with reject inference.
Classification of risk factors for better understanding the magnitude of risk.
Type Of Business
Location / Property
Financial Index - Trend and Forecast
Not enough application data to develop model.
Classification of risk factors for better understanding the magnitude of risk
The initial model expediated the loan process resulting in xxx% increase in business with excellent separation between good and Bad classes.
After couple of years the model was recalibrated with financial variables – The result was outstanding with KS 58 and GINI 72 indicating a high performing model. Bank shifted to a scorecard generated loan application process.