Open AccessStatistical Methods for Banking Sectors to Detect the Eligible Customers for Home Loan
Author(s) -
Savchuk Nataliia V.,
D. Kalpanapriya
Publication year - 2019
Publication title -
international journal of recent technology and engineering
Language(s) - English
Resource type - Journals
ISSN - 2277-3878
DOI - 10.35940/ijrte.a3115.118419
Subject(s) - loan , categorical variable , sensitivity (control systems) , business , measure (data warehouse) , actuarial science , econometrics , computer science , finance , economics , engineering , data mining , machine learning , electronic engineering
Nowadays people are interested to avail loans in banks for their needs, but providing loans to all people is not possible to banks, so they are using some measures to identify eligible customers. To measure the performance of categorical variables sensitivity and specificity are widely used in Medical and tangentially in econometrics, after using some measures also if banks provide the loans to the wrong customers whom might not able to repay the loans, and not providing to customers who can repay will lead to the type I errors and type II errors, to minimize these errors, this study explains one, how to know sensitivity is large or small and second to study the bench marks on forecasting the model by Fuzzy analysis based on fuzzy based weights and it is compared with the sensitivity analysis.