Combined Logit and ANN Models to Construct the Credit Card Scoring

• Main Author: 陳義先
• Other Authors: 李沃牆
• Format: Others
• Language: zh-TW
• Published: 2004
• Online Access: http://ndltd.ncl.edu.tw/handle/40387013937288078237

碩士 === 真理大學 === 財經研究所 === 92 === In Taiwan, the using amount of credit card and outstanding credit has increased rapidly and the competition of banks turns white-hot. The credit risk also increase. For these reasons, detecting probability of bad debt actively, identifying customers of higher profit return, and increasing customer’s loyalty, is the best direction of bank strategy. This paper applied Logit model and ANN models to construct credit scoring system. Results shows that sex,age,income, education, marriage ,occupation..variables have a significance to normal and default cards. In addition, female, older, high income, high education, marriaged, high title and VIP have a lower credit risk. In the last, we construct a credit scoring systems combined this two models. It will decrease the default risk of credit scoring.