DATA MINING to find out Potential Customers for Banks
This dataset has been provided by Bank which is interested in increasing its asset base by giving out more loans to potential customers in order to earn Interest Income over a good period of financial years in future
Various variables or predictors have been provided like Income, Age, Mortgage ets. to gauge the Response on Personal Loan Done for a commercial bank whose target was to increase its income by disbursing loans through Net interest margin. It wanted to segregate (classify ) target customers based on past experience.
Decision trees and clustering was used extensively to come to conclusion keeping the threshold probability very high as defaulting customers would mean a huge loss