In recent years credit scoring has become a challenging issue among financial institutions. Several researchers have dedicated efforts in machine learning in the areas of credit scoring and results have shown that machine learning algorithms have had a satisfactory performance in the sector of credit scoring. Decision trees have been used for data sets that have high dimension and have a complex correlation and the benefits of feature combination and feature selection has led to the usage of decision trees in classification. The disadvantage of decision tree which is overfitting has led to the introduction of extreme gradient boosting that overcomes the shortcoming by integrating tree models. Employing optimization method helps in tuning the hyperparameters of the model. In this paper, a modified XGBoost model is developed that incorporates inflation parameter. In addition to the proposed model, the study uses adaptive particle swarm optimization since it does not fall into local optima. The swarm split algorithm uses clustering and two learning strategies to promote subswarm diversity and avoid local optimums. In this study the modified XGBoost model was compared to five traditional machine learning algorithms namely, the standard XGBoost model, logistic regression, KNN, support vector machine and decision tree. The study used one data set in credit scoring and the evaluation measures used were accuracy, precision, recall and F1-score. Results demonstrate that the proposed model outperforms other models.
| Published in | Machine Learning Research (Volume 9, Issue 2) |
| DOI | 10.11648/j.mlr.20240902.15 |
| Page(s) | 64-74 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2024. Published by Science Publishing Group |
Modified XGBoost, Credit Scoring, Optimization
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APA Style
Langat, K. K., Waititu, A. G., Ngare, P. O. (2024). Modified XGBoost Hyper-Parameter Tuning Using Adaptive Particle Swarm Optimization for Credit Score Classification. Machine Learning Research, 9(2), 64-74. https://doi.org/10.11648/j.mlr.20240902.15
ACS Style
Langat, K. K.; Waititu, A. G.; Ngare, P. O. Modified XGBoost Hyper-Parameter Tuning Using Adaptive Particle Swarm Optimization for Credit Score Classification. Mach. Learn. Res. 2024, 9(2), 64-74. doi: 10.11648/j.mlr.20240902.15
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Download@article{10.11648/j.mlr.20240902.15,
author = {Kenneth Kiprotich Langat and Anthony Gichuhi Waititu and Philip Odhiambo Ngare},
title = {Modified XGBoost Hyper-Parameter Tuning Using Adaptive Particle Swarm Optimization for Credit Score Classification},
journal = {Machine Learning Research},
volume = {9},
number = {2},
pages = {64-74},
doi = {10.11648/j.mlr.20240902.15},
url = {https://doi.org/10.11648/j.mlr.20240902.15},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.mlr.20240902.15},
abstract = {In recent years credit scoring has become a challenging issue among financial institutions. Several researchers have dedicated efforts in machine learning in the areas of credit scoring and results have shown that machine learning algorithms have had a satisfactory performance in the sector of credit scoring. Decision trees have been used for data sets that have high dimension and have a complex correlation and the benefits of feature combination and feature selection has led to the usage of decision trees in classification. The disadvantage of decision tree which is overfitting has led to the introduction of extreme gradient boosting that overcomes the shortcoming by integrating tree models. Employing optimization method helps in tuning the hyperparameters of the model. In this paper, a modified XGBoost model is developed that incorporates inflation parameter. In addition to the proposed model, the study uses adaptive particle swarm optimization since it does not fall into local optima. The swarm split algorithm uses clustering and two learning strategies to promote subswarm diversity and avoid local optimums. In this study the modified XGBoost model was compared to five traditional machine learning algorithms namely, the standard XGBoost model, logistic regression, KNN, support vector machine and decision tree. The study used one data set in credit scoring and the evaluation measures used were accuracy, precision, recall and F1-score. Results demonstrate that the proposed model outperforms other models. },
year = {2024}
}
TY - JOUR T1 - Modified XGBoost Hyper-Parameter Tuning Using Adaptive Particle Swarm Optimization for Credit Score Classification AU - Kenneth Kiprotich Langat AU - Anthony Gichuhi Waititu AU - Philip Odhiambo Ngare Y1 - 2024/10/31 PY - 2024 N1 - https://doi.org/10.11648/j.mlr.20240902.15 DO - 10.11648/j.mlr.20240902.15 T2 - Machine Learning Research JF - Machine Learning Research JO - Machine Learning Research SP - 64 EP - 74 PB - Science Publishing Group SN - 2637-5680 UR - https://doi.org/10.11648/j.mlr.20240902.15 AB - In recent years credit scoring has become a challenging issue among financial institutions. Several researchers have dedicated efforts in machine learning in the areas of credit scoring and results have shown that machine learning algorithms have had a satisfactory performance in the sector of credit scoring. Decision trees have been used for data sets that have high dimension and have a complex correlation and the benefits of feature combination and feature selection has led to the usage of decision trees in classification. The disadvantage of decision tree which is overfitting has led to the introduction of extreme gradient boosting that overcomes the shortcoming by integrating tree models. Employing optimization method helps in tuning the hyperparameters of the model. In this paper, a modified XGBoost model is developed that incorporates inflation parameter. In addition to the proposed model, the study uses adaptive particle swarm optimization since it does not fall into local optima. The swarm split algorithm uses clustering and two learning strategies to promote subswarm diversity and avoid local optimums. In this study the modified XGBoost model was compared to five traditional machine learning algorithms namely, the standard XGBoost model, logistic regression, KNN, support vector machine and decision tree. The study used one data set in credit scoring and the evaluation measures used were accuracy, precision, recall and F1-score. Results demonstrate that the proposed model outperforms other models. VL - 9 IS - 2 ER -
Department of Mathematics, Pan African Institute of Basic Science Technology and Innovation, Nairobi, Kenya; Department of Mathematics, Egerton University, Nakuru, Kenya
