Loan Origination Prediction

"This case study showcases how Winjit’s machine learning was adopted to develop a solution,
to identify whether the loan of a person will be approved or not, saving a big amount of time
before heading for the actual process."

Introduction

Loan approval is one of the most chaotic and tedious tasks where people go through a lot of troubles in arranging and organising their application documents. Even after such hectic arrangements, there still exists a tendency that their loan application might get rejected.

Customer

The client runs one of the biggest financial consultancy firms in the country. Various kinds of services like- financial advisory, asset management, loan application management, etc, are provided by the client to the customers. Now, the client wants to initiate a new service of loan application prediction through which a lot of time of the applicants can be saved if they don’t meet the criteria.

Requirement

To get the overall view of the scenario, Winjit Technologies Machine Learning team communicated with the client to understand the exact requirements. The team identified key requirements as:
Identifying loan approval rates and stages of different financial institutions.
Domain knowledge on loan origination.
Creating dataset on one year of loan origination based on customer’s demographic, credit history, previous loan applications, current credit score, etc.
Predicting loan approval and suggesting relevant banks for application.