Lynda23/MerchantFloat-AI

AI credit scoring API for Nigeria SMEs # MerchantFloat-AI AI powered credit scoring and loan recommendation system for SMEs using POS transaction data. Overview MerchantFloat AI is a data driven scoring system that evaluates the financial health of small and medium sized enterprises (SMEs) using point of sales (POS) transaction data. It transforms raw transaction data into credit scores, risk classifications, and loan recommendations. Problem Many small and medium sized enterprises(SMEs) face limited access to credit due to: • Lack of formal credit history • Heavy reliance on collateral • Inefficient manual risk assessment. This project addresses these challenges by leveraging transcational data to build an alternative, data driven credit evaluation system. Solution MerchantFloat AI leverages transaction level data to: • Generate credit scores (300–850 scale) • Classify merchants into risk levels(Low, Medium, High) • Recommend loan amounts dynamically • Provide explainable, data driven insights Features • AI-powered credit scoring engine • Risk classification system • Loan recommendation logic • Merchant behavioral analysis • Explainable insights for decision making Technical Approach Feature Engineering Transaction data is aggregated into merchant level metrics such as • Average revenue • Revenue volatility • Customer retention rate • Settlement delays • Transaction activity Machine Learning • K-Means clustering for behavioral segmentation • StandardScaler for normalization • Hybrid approach combining ML + rule-based scoring Scoring System • Weighted scoring model based on: • Revenue strength • Consistency • Customer loyalty • Transaction volume • Output normalized to a 300–850 credit score range System Architecture Transaction Data → Backend (Bun.js) → FastAPI (AI Engine) → Scoring Output → Frontend Dashboard Tech Stack • Python (FastAPI) • Scikit-learn (K-Means Clustering) • Pandas / NumPy • REST API System Architecture Transaction Data → Backend (Bun.js) → FastAPI (AI Engine) …