Censored Regression Techniques for Credit Scoring. This project will apply censored regression techniques to a loans database from the industry partner, the ANZ bank. We will accurately estimate the actual time to loan repayment, rather than simply the risk of default. In a novel approach for credit scoring we will build a model using current, right-censored, rather than historic data, incorporating loans that are not yet repaid but are underway and clearly have a length of loan longer than obse ....Censored Regression Techniques for Credit Scoring. This project will apply censored regression techniques to a loans database from the industry partner, the ANZ bank. We will accurately estimate the actual time to loan repayment, rather than simply the risk of default. In a novel approach for credit scoring we will build a model using current, right-censored, rather than historic data, incorporating loans that are not yet repaid but are underway and clearly have a length of loan longer than observed. This approach has the immense advantage of being able to reflect contemporary borrowing patterns in the model, rather than relying on historic trends.
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