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https://github.com/caesaredia/credit-default-risk-analysis

Predicting customer loan default risk using exploratory data analysis and basic statistical modeling.
https://github.com/caesaredia/credit-default-risk-analysis

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Predicting customer loan default risk using exploratory data analysis and basic statistical modeling.

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# Credit Default Risk Analysis
This project analyzes factors that may influence the probability of customer loan default using a real-world dataset from a financial institution. The analysis focuses on identifying trends and relationships across demographic and financial variables.

## Project Objectives 📊
- Understand which customer attributes contribute to higher or lower loan default risk.
- Provide insights that can help credit divisions make more informed lending decisions.
- Apply data cleaning, transformation, and exploratory analysis techniques.

## Key Analysis & Hypotheses Tested 🔍
- **Number of Children**: Are customers with more children more likely to default?
- **Family Status**: How does marital status influence default probability?
- **Income Level**: Do low-income customers default more often?
- **Loan Purpose**: Are loans for education or car purchases riskier?

## Tools Used
- Python (pandas, matplotlib, seaborn)
- Jupyter Notebook

## Files
- `credit_analysis.ipynb` — the main notebook containing all analysis steps
- `credit_scoring_eng.csv` — source data file

## Notes
- Outliers and missing values were addressed using median imputation and basic filtering.
- The dataset was cleaned for inconsistencies like casing differences and invalid values (e.g., age = 0, children = -1).

## Author
Nabilla Hafsah Caesaredia