LAPS: Computing Loan Default Risk from User Activity, Profile, and Recommendations

Wisnu Uriawan, Omar Hasan, Youakim Badr, Lionel Brunie

Research output: Chapter in Book/Report/Conference proceedingConference contribution

2 Scopus citations

Abstract

The credit score is one variable in receiving a loan application from a bank or financial institution that provides credit/loan. Many factors determine whether a borrower gets the loan. One of them is through more valuable collateral than the loan that was proposed. However, this is not possible for borrowers to provide it. Personal data, job information, salary amounts, assets owned, and valuable documents are usually required to determine a credit score. We build a personal lending platform model based on the trustworthiness score called LAPS (Loan Risk score, Activity score, Profile score, and Social Recommendation score) borrower trustworthiness score. The borrowers' trustworthiness is an absolute requirement to ensure they can repay the loans and installments on time. We present the practical ways to select the best features from the Bank Marketing dataset. The feature selection of the dataset applies to blockchain applications. The advantage of LAPS is introducing recommenders' as guarantors to convince the lenders'/investors' and minimizes collateral by implementing a LAPS.

Original languageEnglish (US)
Title of host publication2022 4th International Conference on Blockchain Computing and Applications, BCCA 2022
EditorsMohammad Alsmirat, Moayad Aloqaily, Yaser Jararweh, Izzat Alsmadi
PublisherInstitute of Electrical and Electronics Engineers Inc.
Pages167-172
Number of pages6
ISBN (Electronic)9781665499583
DOIs
StatePublished - 2022
Event4th International Conference on Blockchain Computing and Applications, BCCA 2022 - San Antonio, United States
Duration: Sep 5 2022Sep 7 2022

Publication series

Name2022 4th International Conference on Blockchain Computing and Applications, BCCA 2022

Conference

Conference4th International Conference on Blockchain Computing and Applications, BCCA 2022
Country/TerritoryUnited States
CitySan Antonio
Period9/5/229/7/22

All Science Journal Classification (ASJC) codes

  • Information Systems
  • Information Systems and Management
  • Computer Science Applications

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