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Related papers: Interpretable Selective Learning in Credit Risk

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This paper examines two different yet related questions related to explainable AI (XAI) practices. Machine learning (ML) is increasingly important in financial services, such as pre-approval, credit underwriting, investments, and various…

Machine Learning · Computer Science 2022-09-21 Swati Tyagi

The interpretability of model has become one of the obstacles to its wide application in the high-stake fields. The usual way to obtain interpretability is to build a black-box first and then explain it using the post-hoc methods. However,…

Machine Learning · Computer Science 2023-04-04 Zihao Chen , Xiaomeng Wang , Yuanjiang Huang , Tao Jia

The increasing adoption of machine learning tools has led to calls for accountability via model interpretability. But what does it mean for a machine learning model to be interpretable by humans, and how can this be assessed? We focus on…

Machine Learning · Computer Science 2019-08-06 Dylan Slack , Sorelle A. Friedler , Carlos Scheidegger , Chitradeep Dutta Roy

Risk scoring systems are widely used in high-stakes domains to assist decision-making. However, existing approaches often focus on optimizing predictive accuracy or likelihood-based criteria, which may not align with the main goal of…

Machine Learning · Computer Science 2026-04-07 Wenhao Chi , Ş. İlker Birbil

Understanding why machine learning models behave the way they do empowers both system designers and end-users in many ways: in model selection, feature engineering, in order to trust and act upon the predictions, and in more intuitive user…

Machine Learning · Statistics 2016-06-20 Marco Tulio Ribeiro , Sameer Singh , Carlos Guestrin

Rapid development of advanced modelling techniques gives an opportunity to develop tools that are more and more accurate. However as usually, everything comes with a price and in this case, the price to pay is to loose interpretability of a…

Recent efforts in Machine Learning (ML) interpretability have focused on creating methods for explaining black-box ML models. However, these methods rely on the assumption that simple approximations, such as linear models or decision-trees,…

Machine Learning · Computer Science 2019-06-13 Owen Lahav , Nicholas Mastronarde , Mihaela van der Schaar

With the development of the financial industry, credit default prediction, as an important task in financial risk management, has received increasing attention. Traditional credit default prediction methods mostly rely on machine learning…

Risk Management · Quantitative Finance 2024-12-25 Yuhan Wang , Zhen Xu , Yue Yao , Jinsong Liu , Jiating Lin

Deep learning methods have become very popular for the processing of natural images, and were then successfully adapted to the neuroimaging field. As these methods are non-transparent, interpretability methods are needed to validate them…

Computer Vision and Pattern Recognition · Computer Science 2022-04-15 Elina Thibeau-Sutre , Sasha Collin , Ninon Burgos , Olivier Colliot

Credit risk assessment is a crucial aspect of financial decision-making, enabling institutions to predict the likelihood of default and make informed lending decisions. Two prominent methodologies in credit risk modeling are logistic…

Applications · Statistics 2026-04-30 Cheng Lee , Hsi Lee

Selective classification techniques (also known as reject option) have not yet been considered in the context of deep neural networks (DNNs). These techniques can potentially significantly improve DNNs prediction performance by trading-off…

Machine Learning · Computer Science 2017-06-02 Yonatan Geifman , Ran El-Yaniv

Machine Learning has invariantly found its way into various Credit Risk applications. Due to the intrinsic nature of Credit Risk, quantifying the uncertainty of the predicted risk metrics is essential, and applying uncertainty-aware deep…

Risk Management · Quantitative Finance 2023-12-12 Ashish Dhiman

Machine-learning-based entity resolution has been widely studied. However, some entity pairs may be mislabeled by machine learning models and existing studies do not study the risk analysis problem -- predicting and interpreting which…

Databases · Computer Science 2019-12-09 Zhaoqiang Chen , Qun Chen , Boyi Hou , Tianyi Duan , Zhanhuai Li , Guoliang Li

Modern predictive analytics underpinned by machine learning techniques has become a key enabler to the automation of data-driven decision making. In the context of business process management, predictive analytics has been applied to making…

Machine Learning · Computer Science 2020-06-09 Renuka Sindhgatta , Chun Ouyang , Catarina Moreira

With the wide adoption of machine learning techniques, requirements have evolved beyond sheer high performance, often requiring models to be trustworthy. A common approach to increase the trustworthiness of such systems is to allow them to…

Machine Learning · Computer Science 2023-11-16 Andrea Pugnana , Carlos Mougan , Dan Saattrup Nielsen

Recent years have witnessed the rapid growth of machine learning in a wide range of fields such as image recognition, text classification, credit scoring prediction, recommendation system, etc. In spite of their great performance in…

Machine Learning · Computer Science 2021-09-20 Guandong Xu , Tri Dung Duong , Qian Li , Shaowu Liu , Xianzhi Wang

In this study, we present a novel clinical decision support system and discuss its interpretability-related properties. It combines a decision set of rules with a machine learning scheme to offer global and local interpretability. More…

Methodology · Statistics 2021-07-16 Francisco Valente , Simão Paredes , Jorge Henriques

There is a growing concern about typically opaque decision-making with high-performance machine learning algorithms. Providing an explanation of the reasoning process in domain-specific terms can be crucial for adoption in risk-sensitive…

Computer Vision and Pattern Recognition · Computer Science 2022-11-28 Aditya Chattopadhyay , Stewart Slocum , Benjamin D. Haeffele , Rene Vidal , Donald Geman

Although neural networks have seen tremendous success as predictive models in a variety of domains, they can be overly confident in their predictions on out-of-distribution (OOD) data. To be viable for safety-critical applications, like…

Robotics · Computer Science 2022-11-17 Masha Itkina , Mykel J. Kochenderfer

There is a need of ensuring machine learning models that are interpretable. Higher interpretability of the model means easier comprehension and explanation of future predictions for end-users. Further, interpretable machine learning models…

Machine Learning · Computer Science 2020-08-17 Gregor Stiglic , Primoz Kocbek , Nino Fijacko , Marinka Zitnik , Katrien Verbert , Leona Cilar