Prosper.com: Improving Lending Through Modeling Defaults

Project Details

Term: 

2010

Students: 

Lindsey Cohen, Ross Dodd, Wells Person, Amy Rzepka

University: 

UMD

Presentation: 

Report: 

Prosper.com is an online peer-to-peer lending system for borrowing money and investing in loans
through an open and transparent auction model. Prosper.com borrowers create credit profiles
containing information lenders can review before determining whether to invest or not in a
borrower. Even with this information, one challenge Prosper.com lenders face is being able to
predict which borrowers will default on loans.

The goal of this project is to build a model to classify new listings as either likely or not likely to default to aid in lending decisions

Application Area: