Credit Scoring Project using Machine Learning | Risk Modelling | Logistic Regression | ML Project#1

🔥 In this video, we shall build a Credit Scoring Model for a Bank, enabling them to make data-driven lending decisions. We shall use Logistic Regression classifier to build our model and decile methodology to formulate a lending strategy.

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🔥 Course Sections

00:00 Introduction
03:19 Client's Business Case
05:22 Solutioning Intuition
06:11 ML Model Building
13:34 Decile Methodology
22:21 Solution Delivery to Client

🔥 Resources


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[suattuncer]

Just for those who don't know about scaling: In the video, the standard scaling method is used, which scales values based on the data's variation itself. On the other hand, scaling between 0 and 1 is Min/Max scaling, where the maximum value is set to 1 and the minimum value to 0. It's important to note that these boundaries are determined by all your data, not on a column-by-column basis.

[mactasheel]

Thanks for the awsome explanation! I still couldn't understand, how you come up with the decision of taking 79.73% for keeping profitability & expansion in mind? why not 72.45% for exemple?

[luizfelipevercosa]

Thanks a lot! I loved the threshold analysis!

[shahwaheedullah]

Hi Sir, thanks for sharing this video, a-lots of knowledge and information.
But Sir how we can use financial ratios dateset of industries in the logistic regression for predicting credit and investment risk for financial institutions??? Please share some videos/links to learn!
Thanks & Regards

[mansimishra]

Where are you collecting this dataset please let me know? Thankyou!!

[rolfjohansen]

I sort was expected something more after the logistic regression, something like an advanced ML technique like gradient boosting, Neural nets, etc ...

[rahulshukla]

Could you please help me with how you created the pivot table and added all the column fields to it

[karthikharisamy]

Can you share how to build a credit risk model end to end under IFRS 9 Regulations. It will be of great help if you can share any links as well. Thanks

[saurabhmeshram]

how you calculated profit to business values?

[vishwav]

can u please provide feature selection algorithm for this credit scoring project please bro..

[omdivyatej]

What is "No.of trade lines Unes 60 days worse or ever" in the feature part? What is Unes here?

[mathslearningmadefun]

It was again a great video especially the last part i.e., Decile concept.

I have a doubt regarding how to find the 'Target (predicted)' value for a new observation, other than what is already present in train and test data. Could you please help me with this?

[retiredman]

You need to show that 20% validation sample result based on your 80% sample scorecard. right?

[NEWLIFESTYLE]

Hi, please, I have a small problem with my dataset. When I concatenate the 'prob_0' and 'prob_1' columns with the 'Actual_target' (which is my 'y_test' values), the 'Actual_target' column contains NaN values. Why is that?

[sujal]

Does anyone found file not found error in third step of google collab please anyone tell the solution

[JoanaOdtojan]

Hi, wondering how do I apply this for financial crime scoring?

[igorgomez]

Hi, did you change the Dataset? Because de IDs you are using in the example don't appear in the Drive's dataset (for example, the ID 66, first row). And the results I get are totally different

[kevinmugo]

Kindly, someome help how the decile formula was applied for all cells

[SarthakHirekhan]

could not convert string to float: '$2, 327' Getting this Error Please Help Out

[pratipadakhatode]

hello sir I have query with source code that you provided how can I contact you