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Bayesian Networks as a Decision Support Tool in Credit Scoring Domain

Bayesian Networks as a Decision Support Tool in Credit Scoring Domain

Witold Abramowicz, Marek Nowak, Joanna Sztykiel
ISBN13: 9781591400578|ISBN10: 1591400570|EISBN13: 9781591400837
DOI: 10.4018/978-1-59140-057-8.ch001
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MLA

Abramowicz, Witold, et al. "Bayesian Networks as a Decision Support Tool in Credit Scoring Domain." Managing Data Mining Technologies in Organizations: Techniques and Applications, edited by Parag C. Pendharkar, IGI Global, 2003, pp. 1-20. https://doi.org/10.4018/978-1-59140-057-8.ch001

APA

Abramowicz, W., Nowak, M., & Sztykiel, J. (2003). Bayesian Networks as a Decision Support Tool in Credit Scoring Domain. In P. Pendharkar (Ed.), Managing Data Mining Technologies in Organizations: Techniques and Applications (pp. 1-20). IGI Global. https://doi.org/10.4018/978-1-59140-057-8.ch001

Chicago

Abramowicz, Witold, Marek Nowak, and Joanna Sztykiel. "Bayesian Networks as a Decision Support Tool in Credit Scoring Domain." In Managing Data Mining Technologies in Organizations: Techniques and Applications, edited by Parag C. Pendharkar, 1-20. Hershey, PA: IGI Global, 2003. https://doi.org/10.4018/978-1-59140-057-8.ch001

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Abstract

The main purpose of this article is to discuss applicability of Bayesian belief networks (BBN) within the procedures of working-capital credit scoring conducted in commercial banks. A brief description of Bayesian formulation of causal dependence and its strength is given. Inferential and diagnostic features of BBN are illustrated using sample structure. As an example we present and compare results of estimating a credit risk using two techniques: traditional credit-scoring system and BBN structure.

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