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Issue No.06 - June (2010 vol.22)
pp: 826-838
Jing He , Victoria University, Australia
Yanchun Zhang , Victoria University, Australia
Yong Shi , Chinese Academy of Sciences, China
Guangyan Huang , Victoria University, Australia
ABSTRACT
Extracting knowledge from the transaction records and the personal data of credit card holders has great profit potential for the banking industry. The challenge is to detect/predict bankrupts and to keep and recruit the profitable customers. However, grouping and targeting credit card customers by traditional data-driven mining often does not directly meet the needs of the banking industry, because data-driven mining automatically generates classification outputs that are imprecise, meaningless, and beyond users' control. In this paper, we provide a novel domain-driven classification method that takes advantage of multiple criteria and multiple constraint-level programming for intelligent credit scoring. The method involves credit scoring to produce a set of customers' scores that allows the classification results actionable and controllable by human interaction during the scoring process. Domain knowledge and experts' experience parameters are built into the criteria and constraint functions of mathematical programming and the human and machine conversation is employed to generate an efficient and precise solution. Experiments based on various data sets validated the effectiveness and efficiency of the proposed methods.
INDEX TERMS
Credit scoring, domain-driven classification, mathematical programming, multiple criteria and multiple constraint-level programming, fuzzy programming, satisfying solution.
CITATION
Jing He, Yanchun Zhang, Yong Shi, Guangyan Huang, "Domain-Driven Classification Based on Multiple Criteria and Multiple Constraint-Level Programming for Intelligent Credit Scoring", IEEE Transactions on Knowledge & Data Engineering, vol.22, no. 6, pp. 826-838, June 2010, doi:10.1109/TKDE.2010.43
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