An application to compare the prediction performances of machine learning methods in the loan allocation process

The development of technological possibilities has brought the opportunity to store data that has increased significantly and to make strategic analyzes from that data. Data analysis provides firms/individuals, whom operating in competitive markets, the opportunity to make strategic evaluations during the decision-making phase. Financial institutions, especially banks, whose number of customers have increased significantly in recent years, need to make more accurate decisions in loan allocation process in order to strengthen their financial structure and maintain their activities in accordance with legal regulations. Data mining and machine learning methods offer banks and other financial institutions the opportunity to act prudently and take precautions against the risks they may be exposed to.