Abstract:

In order to assist an effective decision for the online lending borrower, we apply Logistic regression in to calculate the probability for the securing a loan. Based on the Logistic regression of the data from PPdai.com, we build new kinds of tools for decision makers to help the borrower to quantify her strategic options to get loans. In the train
ing set of the prediction model, the comprehensive prediction rate reached 89.6% and the comprehensive prediction rate in validation set is 85.8%. Such result indicates that our model is valid.

Key words: online lending, Logistic model, decision support