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  • https://doi.org/10.18178/ijmlc.2021.11.3.1033Copy DOI Icon

A Credit Risk Predicting Hybrid Model Based on Deep Learning Technology

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Abstract

Credit risk evaluation (CRE) is a very challenging and important management science problem in the domain of financial analysis. Many popular methods have been applied to tackle this problem in recent years. However, feature extraction and imbalanced data problem have not been paid enough attention in the current research, which play significant function in field of CRE. In this paper, we employed a deep learning approach to extract effective features and under-sampling technique to balance dataset. Our model combine under-sampling technique, Deep Boltzmann Machine (DBM) and Discriminative Restricted Boltzmann Machine (DRBM) method. To examine the performance, real world credit data of Lending Club is applied in the proposed model. The stable and better performance results show that the Hybrid classifier we propose is more effective and powerful.

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