You are given loan.csv which shows loan approvals for certain interest rates.
Your assignment is to predict whether someone will get an interest rate of 9% or lower, depending on external data such as FICO score and monthly income.
Data is provided in the CSV file, but you may engineer other predictors to increase the power of your model.
- Use Grid Search to find the best model
- Plot the ROC curve with AUC score, Accuracy, Precision and Recall
- Plot the Confusion Matrix
- What do you wish to avoid more, false positives or false negatives? Why?
- What do you want to set your threshold at as to maximize your business objectives?
- Justify your code/analysis
- What are your recommendations?
- Interest Rate
- FICO Score
- Loan Length
- Monthly Income
- Loan Amount