Journal of Banking & Finance Vol. 28 No. 4 2004
Does reject inference really improve the performance of application scoring models?
open access
Abstract
The parameters of application scorecards are usually estimated using a sample that excludes rejected applicants which may prove biased when applied to all applicants. This paper uses a rare sample that includes those who would normally be rejected to examine the extent to which (1) the exclusion of rejected applicants undermines the predictive performance of a scorecard based only on accepted applicants, and (2) reject inference techniques can remedy the influence of this exclusion.
- DOI
- 10.1016/j.jbankfin.2003.10.010
- Volume
- 28
- Issue
- 4
- Pages
- 857-874
- Language
- en
- Sources
- openalex crossref bibtex:phds-export.bib