An ability to understand and predict financial wellbeing for individuals is of interest to economists, policy designers, financial institutions, and the individuals themselves. According to the Nilson reports, there were more than 3 billion credit cards in use in 2013, accounting for purchases exceeding US$ 2.2 trillion, and according to the Federal Reserve report, 39% of American households we...

n contemporary days the more secured data transfer occurs almost through internet. At same duration the risk also augments in secure data transfer. Having the rise and also light progressiveness in e – commerce, the usage of credit card (CC) online transactions has been also dramatically augmenting. The CC (credit card) usage for a safety balance transfer has been a time requirement. Credit-car...

Credit card usage modelling is a relatively innovative task of client predictive analytics compared to risk modelling such as credit scoring. The credit limit utilization rate is a problem with limited outcome values and highly dependent on customer behavior. Proportion prediction techniques are widely used for Loss Given Default estimation in credit risk modelling (Belotti and Crook, 2009; Ars...

In an ITS, students typically have two types of performance to a problem: correct and incorrect, and all the other information such as how many hints the student sees in this question and how many attempts he/she does to get the correct answer is ignored. Feng and Heffernen (2010) showed that we can predict better by accounting for problem solving behavior as well as correctness. By introduce c...

One of the explanations for global imbalances is the self-financing behavior of credit-constrained firms in rapidly growing emerging markets. We use an extensive firm-level data set from several Asian countries during 2002–2011, and test the micro foundation of this theory by estimating the effect of an exogenous change in credit constraints, resulting from financial reforms, on firms’ saving b...

Credit scores are the most widely used instruments to assess whether or not a person is a financial risk. Credit scoring has been so successful that it has expanded beyond lending and into our everyday lives, even to inform how insurers evaluate our health. The pervasive application of credit scoring has outpaced knowledge about why credit scores are such useful indicators of individual behavio...

Group-based lending programs for the poor have drawn much attention recently. As many of these programs target women, an important research question is whether program participation significantly changes reproductive behavior and whether the gender of the participant matters. Using survey data from 87 Bangladeshi villages, we estimate the impact of female and male participation in group-based c...

Two thirds of US households hold bank type credit cards, and most of them revolve high-interest card debt. Standard models cannot account for the observed co-existence of such debt with (i) substantial asset accumulation by retirement age, and (ii) substantial holdings of low-rate liquid assets. Hyperbolic discounting can resolve the former but not the second puzzle (Laibson, et al., 2000). Ber...

We analyze a new dataset on borrowing decisions of a sample of customers of a credit card company. This credit card allows customers to pay for their purchases via installment credit over terms up to 12 months at an interest rate that depends on the customer’s credit score and the duration of the installment loan. We use these data to estimate the effect of interest rates on consumers’ demand f...

Group-based lending programs for the poor have become a focus of attention in the development community over the last several years. An important research question is whether program participation significantly changes household behavior and, because many of these programs target women, whether the gender of the program participant matters. If the gender of program participant matters, as this ...