NjeruNgari/Kamoa-Loan-App-Default-Analysis

In-depth analysis of loan defaults and portfolio performance for Izwe Loans Kenya, offering insights and strategies for risk mitigation and debt recovery optimization. This project provides an in-depth analysis of loan defaults and portfolio performance for Izwe Loans Kenya, focusing on data from the Kamoa Loan app. The aim is to unveil patterns and develop strategies for mitigating risks associated with loan defaults. Key Features Default Distribution Analysis: Examine the distribution of loan defaults across various loan amounts, highlighting key risk factors. Income Level Impact: Analyze the correlation between income levels and default rates, particularly focusing on lower loan brackets. Phone Number Multiplicity: Investigate the relationship between multiple phone numbers and default rates, providing insights into potential fraudulent activities. Past Due Amounts: Assess the severity of past due amounts and their impact on overall default rates. Creditworthiness Reviews: Evaluate negative credit reviews and their connection to higher default rates. Loan Settlement Trends: Compare internal and external debt collection performance, identifying settlement rates across different loan ranges. Active Arrears Concentration: Analyze the concentration of active arrears, focusing on both internal and external debt collection. Sweet Spot Identification: Identify optimal loan ranges for targeted improvement in debt collection strategies. Risk Mitigation Strategies: Propose targeted risk management initiatives to address high default rates and improve credit scores. Recommendations Targeted Risk Management: Implement focused risk management strategies within the Kamoa app to address elevated default rates. Credit Score Improvement Initiatives: Enhance credit scores by addressing issues such as multiple phone numbers and negative reviews. Early Detection and Proactive Intervention: Enhance monitoring and early intervention for loans below KES 5,001 to reduce default risk. Optimized Debt Collection Strategies: Develop and optimize debt collection strategies for loan amounts above KES 5,000 to improve settlement rates. Summary The Kamoa L …