Credit Risk Default for Digital Revolving Loans
Jan 2023 - Jun 2023 (6 months)
Designed Management Information Systems (MIS) to track and monitor performance for revolving personal loans for digital-only product. Calculated how many months on books (MOB) and delinquency status (0, 30, 60, 90) each client was performing using Oracle. Then, modeled the relationship between 90-day delinquency and other drivers for loans in a Decision Tree using Python. Using the Decision Tree, predicted the behavior of newer loans and designed a credit life-cycle policy with the intent to optimize portfolio returns. Impact: Monthly portfolio performance reporting and portfolio inspection on a quarterly basis; portfolio delinquency dropped from 1.5% to 0.9% within 12 months.